Connecticut private equity firm Compass Partners Capital said it has acquired a Pennsylvania-based industrial and defense precision manufacturer and will merge the firm with its South Windham portfolio company, Micro Precision LLC.
The acquisition of PRL Inc. also has a Greater Hartford tie-in, as Avon’s Ironwood Capital made a subordinated debt and equity investment in the deal. No financial details were disclosed.
PRL specializes in alloy casting and close-tolerance machined components.
PRL will merge into Micro Precision (MPI), which supplies critical components and assemblies for the U.S. Navy’s Virginia and Columbia class submarines.
The combined company will be led by Micro Precision’s current CEO, retired U.S. Navy Vice Admiral John Morgan, who has led Micro Precision since 2019.
Interestingly, Micro Precision was previously a part of Ironwood’s investment portfolio. Ironwood co-invested in the firm in 2006 and exited in 2011.
“Ironwood is excited to partner with Compass and Admiral Morgan to bring together MPI and PRL,” Jim Barra, managing director at Ironwood, said in a statement Wednesday. “The vertically integrated business is extremely well-positioned to participate in the expected two-decade-long upgrading of the United States Navy’s submarine fleet, a top priority for the Pentagon and critical sector for the Connecticut economy.”
