A Diversified Holding Company with a Long-Term Investment Horizon
INVESTMENT APPROACH
Covey Equity seeks to invest in niche businesses at the lower end of the middle market. The following characteristics are strongly preferred for Covey to pursue a platform investment:
Stable history of positive free cash flow
Leading provider of products or services to a well-defined market
Established management team
Definable competitive advantage
Cultural alignment with Covey
DISCIPLINED
Private capital partner focused on investing in niche businesses at the lower end of the middle market.
LONG-TERM
Permanent holding company structure gives Covey the ability to hold investments indefinitely and allows each portfolio company to thrive without the unnecessary pressure of a defined exit timeline.
INTEGRITY
We operate with honesty and transparency in how we treat employees, customers, vendors, and partners.
STABLE
Our investments are carefully chosen to stand the test of time while managed by leaders that share our beliefs and core values.
INVESTMENT CRITERIA
Investment Criteria for Platform Investment
SIZE
Up to $50 million Enterprise Value
CHARACTERISTICS
$3 – $8 million in EBITDA / Greater than 10% EBITDA Margins
BUSINESS TYPE
Manufacturing / Distribution / Business-to-Business Services
GEOGRAPHY
Southeast Preferred / Midwest Considered
TRANSACTION
Majority Buyout (Equity Rollover Preferred)
Investment Criteria for Add-On Investment
Strategic fit with existing portfolio company
Greater than $500k in EBITDA
ABOUT US
Our disciplined strategy empowers our partners and their management teams.
Founded in 2003, Covey Equity (previously JBA Capital) is a privately-owned holding company focused on making long-term investments in lower-middle market niche industrial businesses. Our patient approach to investing centers around a disciplined strategy of acquiring operating businesses in partnership with established management teams who share our values. For nearly twenty years, we’ve consistently delivered attractive risk adjusted returns by focusing on customers, developing leaders and efficiently allocating capital.
OUR PORTFOLIO
PHX Holdings
September 2003
PHX Holdings, LLC actively manages a family of contract manufacturing and manufacturing services businesses, including Phoenix Stamping Group and GTC Machining.
Provider of moderate-to high mix, high complexity printed circuit board (PCB) assemblies and top-level products for the industrial controls, energy, lighting, and medical markets.
Blow Molded Solutions, is a custom blow molding operation, manufacturing parts for major Tier I OEMs, and other medium-size manufacturers in recreational, automotive, and other consumer product markets.
Provider of structural panels made of high-density, polyurethane foam reinforced with layers of fiberglass primarily for the marine and recreational vehicle markets.
Provider of low volume / high-mix stamped, laser cut, welded, or cold headed, heavy-gauge steel products for the material handling, heavy truck and trailer, and industrial markets
February 2019
Provider of tight tolerance machining and engineering services throughout the defense, aerospace, biomedical, and commercial market segments
Provider of custom thermoplastic extrusions and specialty fabrication support for the automotive, industrial, and window and door markets.
Since our founding in 1978, Vytron Corporation has built a rich tradition of providing custom extrusions and specialty fabrication support for a wide array of industries. Our modern 80,000 square foot facility is located approx. 30 miles south of Knoxville and is easily accessible to Interstate 75 which is less than 3 miles away. We invite you to explore a business relationship with us. Whether it’s one of our existing products or you have a need for a new custom extrusion to be made, let Vytron provide you with a “no obligation” quote.
Provider of moderate-to high mix, high complexity printed circuit board (PCB) assemblies and top-level products for the industrial controls, energy, lighting, and medical markets.
Prime Technological Services was founded in 1989 with a core team of industry veterans and a clear vision for quality from the inside out. Our strategy for helping our customers succeed has worked. We are now in our third location and have doubled our size with each move. In 2007, Covey purchased Prime and began investing in newer technologies to leverage the growth strategy. Since, Prime has deployed its own financial capital on even more advanced manufacturing technologies, key personnel, processes such as lean manufacturing, and quality systems to help strengthen our position as a leader in high-mix, high-complexity, and quick-turn precision manufacturing. Prime is now poised for even greater growth and success in the EMS world.
Blow Molded Solutions, is a custom blow molding operation, manufacturing parts for major Tier I OEMs, and other medium-size manufacturers in recreational, automotive, and other consumer product markets. BMS is one of only three blow molding companies in the Southeast that have comparable large part production capability, with machine capacities from 5lb up to a 50 lb. shot weight.
BMS was founded in 2009 and its founder continues to run the company today. BMS has been successful at growing the business and established an excellent reputation in the industry with a focus on customer service and quality.
Supreme Cores Holding, LLC, headquartered in Alabaster, Alabama produces high quality, complex cores that are used by foundries to shape metal casting products, such as pipes, metal supports, and automotive parts. Supreme offers shell cores, no bake cores, cold box cores, core washing, and core assembly.
Supreme Cores was founded in 1998. Following the transaction in 2019, a transition of management from the founder to a new President & CEO began.
Coosa Composites Holdings, LLC (Coosa Composites) headquartered in Pelham, AL manufactures structural panels made of high-density, polyurethane foam reinforced with layers of fiberglass. Coosa panels are used throughout the marine, industrial and transportation industries in structural and non-structural applications. Coosa’s customers are well known and recognizable brands with excellent diversification. Coosa sells composite panels throughout North America and worldwide from the Coosa facility or through distributors in Australia, the Caribbean, South Africa, and Europe.
Founded more than 20 years ago, Coosa recognized the need for an innovative alternative to plywood used in the marine industry and is recognized for its role in increasing longevity, lowering weight, reducing repair needs, and mitigating warranty claims from inferior product use.
Mr. Gardiner W. Garrard is the Chairman of the Board of Managers of Covey Equity. Gardiner came to work for The Jordan Company in 1974 and served as the President of the company from 1975 until 2009. He served as a law clerk for the Honorable Griffin B. Bell, practiced law and worked in the apartment development business before coming to The Jordan Company. Gardiner has also served on the Boards of Total System Services Inc. (now Global Payments), Synovus Financial Corp and several local charitable, civic, and non-profit organizations.
Gardiner attended Woodberry Forest School and earned his BA in English from the University of North Carolina and obtained his Juris Doctor from the University of Georgia School of Law.
James H. Blanchard Vice Chairman
Mr. James Blanchard joined Covey Equity in 2011 and currently serves as Vice Chair of the board. He began his career as President of Columbus Bank and Trust Company (CB&T) in Columbus, Georgia. Under his leadership, spanning over 40 years as Chairman of the Board and CEO, CB&T became Synovus Financial Corp., a multi-billion dollar southeast regional financial services company. While there, he also helped create TSYS, the largest third-party credit card processing company in North America.
Mr. Blanchard has been active throughout his career leading many local, state and national non-profit and civic organizations. He has served on corporate boards such as AT&T, Chick-Fil-A, W. C. Bradley Co. and Global Teen Challenge and invested in leadership development through many organizations including the Jim Blanchard Leadership Forum, John Maxwell’s Leadership Foundation and Ken Blanchard’s Lead Like Jesus National Advisory Board. He currently serves as Chairman of the Maxwell Leadership Foundation.
Awards include:
“Most Respected CEO” in the state, Georgia Trend magazine, 1997
“Georgian of the Year,” Georgia Trend magazine, 2003.
“Most Influential Georgians Hall of Fame,” George Trend magazine, 2006.
Lifetime Achievement Award, Technology Association of Georgia, 2007.
2010 FinTech Lifetime Achievement Award, Technology Association of Georgia.
Georgia Trustee, Office of the Governor and the Georgia Historical Society, 2016.
Mr. Blanchard earned a Bachelor of Business Administration and a Bachelor of Laws from the University of Georgia.
Gunby J. Garrard President
Gunby Garrard is the President of Covey Equity and is one of its founding members. Gunby oversees all aspects of Covey Equity, but his primary focus is on portfolio company oversight, sourcing new capital to fund acquisitions and the management of the relationship with existing investors. He started his career at Total Systems Services (TSYS) and worked there until 2003. In 2003, Gunby left TSYS to work with his father at their family business, The Jordan Company (TJC) based in Columbus, Ga. In partnership with his father, Gunby invested in Phoenix Stamping Group, LLC which began the formation of the organization known today as Covey Equity, formerly known as JBA Capital.
Gunby holds a Bachelor of Business Administration in International Business with a focus in Finance from the University of Georgia and a Master of Business Administration from Emory University. He is also a graduate of Woodberry Forest School.
William R. Blanchard Director
Billy Blanchard is a Director of Covey Equity, where his primary role involves oversight for a portfolio of Covey Equity’s companies. He started his career at Synovus where he worked for 23 years, until 2017. During his time at Synovus, Billy held a number of roles including commercial lender, Executive Vice President of Retail Banking, as well as President and CEO of the Synovus flagship bank, CB&T, and Regional CEO of Synovus’ multi-bank Middle Georgia region.
Over the course of his career, Billy has been actively leading numerous community organizations including the Chamber of Commerce, United Way, Development Authority, and Columbus 2025.
Billy holds a Bachelor of Science in Business Administration from Berry College.
Paul S. Amos, II Director
Paul S. Amos, II is a Director of Covey Equity and serves as a board member to Covey’s portfolio companies.
Prior to joining Covey, Paul served as the president of Aflac, the largest provider of supplemental insurance in the United States and the leading provider of medical and cancer insurance in Japan. Amos oversaw corporate strategy for Aflac Inc. and was responsible for Aflac’s corporate venture capital operation. He also directed Aflac Japan, which is Aflac’s largest earnings contributor. He previously served as president and Chief Operating Officer of Aflac U.S. Before joining Aflac, he worked in the corporate legal division of a Washington-based merger and acquisition firm.
Amos earned a Bachelor of Arts in economics from Duke University; a Master of Business Administration from Emory University; and Juris Doctor from Tulane University.
Meika Hilsman CFO
Meika Hilsman is the Chief Financial Officer for Covey Equity. She began her career in public accounting at Deloitte & Touch, LLP. Over the course of her 20+ year career, Meika has served in a variety of accounting and finance related roles for public, private and not-for-profit organizations. For much of her career, Meika was engaged as a consultant for Synovus working on long-term engagements, including internal and external reporting, forensic accounting, and regulatory compliance.
Meika holds a Bachelor of Science in Mathematics from Vanderbilt University and a Masters of Accounting from the University of Georgia.
Rand Jones General Counsel
Rand Jones is General Counsel of Covey Equity and oversees all legal activity, including corporate and employment matters.
Rand was a former partner/shareholder in the law firm of Page, Scrantom, Sprouse, Tucker & Ford, P.C. where he worked for over 13 years. He is a current and active member of the State Bar of Georgia. In addition to his legal career, Rand has been involved in the development and operation of multiple franchise businesses throughout the southeast.
Rand is actively involved in his local community. He is a member of St. Paul United Methodist Church and a board member of the Boys and Girls Club of the Chattahoochee Valley. Rand holds a Bachelor of Business Administration in Finance from the University of Georgia and a Juris Doctor from Mercer University, Walter F. George School of Law.
Robbie Raybon Acquisitions
Robbie joined as the Head of Acquisitions for Covey Equity in 2015 and oversees all acquisition and investment activity for Covey including all deal sourcing, structuring, due diligence, and execution for the Covey portfolio. Robbie started his career as an investment banker at Citigroup Global Markets in Palo Alto, Ca. as well as Croft & Bender in Atlanta, Ga, before transitioning to private equity investing.
Robbie holds a Bachelor of Science in Business Administration from The Citadel, The Military College of South Carolina.
