ABOUT
IBC Funds is a licensed Small Business Investment Company (“SBIC”) that provides flexible capital solutions for lower middle market companies.
Currently investing IBC Fund IV – a $180M SBIC fund.
INVESTMENT CRITERIA
IBC Funds invests in businesses located in the United States with the following characteristics:
FINANCIALS
EBITDA: Greater than $2 million
EBITDA: Margin > 10%
INDUSTRIES
Light Manufacturing, Value-Added Distribution
TRANSACTION TYPES
Growth, Independent Sponsors, MBO
COMPANY CHARACTERISTICS
Proven Management, Unique Market Opportunity
INVESTMENT RANGE & STRUCTURE
Sub Debt & Equity
AVOIDED SITUATIONS
Start-Ups, Finance Companies, Non-U.S. Companies
Select Prior Investments
TEAM
In 2021, IBC Funds successfully launched its newest SBIC fund and announced an expanded investment team and additional office located in Little Rock, AR.
Aqueos Corporation, Broussard, LA
Aqueos is a premier subsea diving service provider, providing a full range of services primarily to the offshore oil and gas industry. Based in Broussard, Louisiana, the Company services the Gulf of Mexico and the west coast of the United States. Management has over 200 years combined experience in the industry, and the Company routinely wins top industry honors.
IBCF’s investment financed the construction of a specialized diving support vessel primarily utilized by supermajor energy firms. Management believes the vessel is the first of its kind in the market, has numerous patented features, and will provide a key competitive advantage.
Accusource Solutions
AccuSource (formerly known as DFMC) is a leading provider of forms design, management and fulfillment services to banks in the southwestern United States. Fund I provided preferred stock financing to effect the recapitalization of the business.
Alsay Incorporated, Houston, TX
Alsay is a leading provider of municipal and industrial water well drilling and servicing to cities, municipalities and municipal utility districts in the Houston and San Antonio markets. Fund I provided equity financing.
Anthony Machine, San Antonio, TX
Anthony Machine provides high-precision parts to service companies and OEMs serving the Energy, Aggregate and Transportation industries. It is the largest machine shop in San Antonio with an operating history spanning almost 70 years.
IBCF’s investment of $3.5 million helped Framework Capital Partners finance the acquisition of Anthony Machine from the estate of Michael Anthony.
Azimuth Technology, Naples, FL
Headquartered in Naples, Florida, Azimuth Technology, LLC (“Azimuth”) is a leading precision manufacturer of high-end components sold to firearm OEM’s and aftermarket distributors.
Azimuth’s core competency is its ability to efficiently manufacture complex, high tolerance products and assemblies utilizing the state-of-the-art CNC machine tools which has led to Azimuth quickly becoming known as a premier supplier for leading firearm OEM customers seeking fast turnaround times on high volume precision parts and assemblies.
IBCF’s investment will be used to provide growth capital in support of Azimuth’s expansion strategy.
Berry
Berry is a full service aviation business that provides air carrier and concierge services to both private sector and public clients, including the United States Department of Defense (“U.S. DOD”) and other government agencies. Berry’s primary lines of business are passenger and freight charter services as well as aircraft maintenance and parts services. Berry provides remote site and mission critical airlift services for the U.S. DOD internationally, including passenger and cargo transport, aerial delivery and emergency medical evacuation. Berry also operates a fixed based operator facility at the San Marcos, Texas Municipal Airport. Berry was founded in 1983 by Sonny Berry, who currently serves on the Board of Directors of the company.
IBCF and its co-investors partnered to acquire 100% of the common stock of Berry Aviation, Inc. This investment represents IBCF’s second investment in Berry.
Pelagic Equipment and Services Holdings, LLC, Houston, TX
Headquartered in Houston, Texas, Pelagic Equipment and Services Holdings, LLC (“Pelagic”) is a wholesale distributor of oilfield equipment with two subsidiaries, Kp Wellhead and Supply, LLC and B&J Wholesale.
Pelagic specializes in the sales and distribution of new American Petroleum Institute-certified equipment such as gate valves, frac tree components, drill through equipment and replacement parts. Pelagic sells and delivers parts and equipment into all of the major basins.
IBCF’s investment will be used to provide capital in support of Pelagic’s expansion strategy, and provide ongoing working capital for the business.
Burrow Global
Burrow Global is a full service engineering, procurement, construction and facility services firm with specialties in process design and plant automation, turnaround management, and plant commissioning and start-ups.
IBCF’s investment provided growth capital and helped facilitate Burrow’s acquisition of Industrial Engineering Management, a multi-disciplined engineering firm with offices in Baton Rouge, Louisiana and Clear Lake, Texas.
Capital Precast, San Marcos, TX
Capital Precast is a leading manufacturer of precast concrete underground utility products. The Company has been providing precast concrete storm drain, sewage and electric manholes to utility contractors, distributors and utilities in South and Central Texas for over 20 years. Capital Precast has experienced topline growth every year since 2009 while also expanding profitability and becoming one of the region’s leading providers of precast concrete products.
IBCF’s investment will provide additional capital to support the company’s continued growth.
Cornerstone Automation Systems, LLC, Frisco, TX
Founded in 2002, Cornerstone Automation Systems is dedicated to providing logistics and manufacturing customers with cutting edge automation systems. CASI offers scalable software and hardware systems to companies with large-scale material handling, logistics, packaging and manufacturing automation.
Capital Precast, San Marcos, TX
C & G is one of the largest pipe, valve, and fittings distributors, primarily serving the Ft. Worth area. Fund I provided preferred unit financing to enable the company to accelerate its growth and expansion.
Controlled Contamination Services, San Diego, CA
Established in 1993, Controlled Contamination Services (“CCS”) provides controlled environment cleaning services, decontamination services and a wide range of other facility services to customers who operate in highly regulated environments. CCS has become a leading national provider of its services by combining an experienced management team with broad technical and industrial knowledge, strict adherence to Good Manufacturing Practices (“GMP”), ISO 9001:2015 certification, and a Quality Management System.
IBCF’s investment will be used to refinance existing debt to allow CCS’s management to execute a long term growth strategy of continuing to penetrate new markets and diversify the revenue and customer base.
Certified Pipe Service, Houston, TX
CPS is a diversified steel pipe service company and structural steel fabricator located at Jacinto Port in Channelview, Texas (24 miles east of downtown Houston on the ship channel). Core services revolve around the storage, repair and service of tubular goods. The Company was formed in 2006 by Kyle Yarbrough as an independent offshoot of his family’s 30+ year business.
IBCF’s investment was used to refinance some existing debt, complete the construction of a new facility, and for general working capital purposes.
DSW Homes, Galveston, TX
DSW specializes in the reconstruction and rehabilitation of damaged homes related to federally funded disaster recovery (“DR”) programs. In addition to the natural disasters, the Company actively bids on approximately $500 million of annual federally funded grants initiated by US Department of Housing and Urban Development (“HUD”) Community Development Block Grant (“CDBG”) program.
IBCF’s investment will be used to provide growth capital.
The Finial Company, Inc., Dallas, TX
Founded in 1996, The Finial Company, Inc. designs, manufactures and finishes custom drapery hardware. Fund II’s investment supported Finial’s acquisition of the assets of Paris Texas Hardware, another Dallas-based drapery hardware manufacturer.
Andy Garcia Foods, San Antonio, TX
Garcia Foods is a leading processor and distributor of branded ready-made Mexican food products to the southern U.S. and Mexican markets. Originally founded in 1956 and headquartered in San Antonio, Texas, Garcia Foods products are sold under two core brand identities: Papa Grande and Andy Garcia Foods, both of which have strong market presence in the industry. The Company’s products consists of chorizo, barbacoa, tamales and other smoked meats which are sold to grocery stores, wholesale distributors and restaurants primarily in the state of Texas.
IBCF’s investment will be used to fund capital expenditures associated with facility upgrades, as well as ongoing working capital to support future growth.
GranQuartz, Tucker, GA
GranQuartz is a stone tool distributor located in Tucker, GA (a suburb of Atlanta). GranQuartz sells tools, equipment and supply items to the natural stone market in North America. Fund I’s investment manager sponsored the recapitalization and provided equity as lead investor.
GTI, Stafford, TX
Founded in 1992, General Technologies, Inc. (“GTI”) designs, develops, manufactures, and supplies specialty reinforcement systems and components for unbounded post-tensioning systems, bonded post-tensioning systems, concrete accessories, and related equipment. GTI is globally recognized for quality high-performance products and holds a multitude of US and Worldwide patents whose technically-advanced products are accepted and used in all areas of the world.
IBCF’s investment will be used to provide growth capital.
Independent Rough Terrain Center, Cibolo, TX
Headquartered in Cibolo, Texas, Independent Rough Terrain Center LLC (“IRTC”), is a specialized manufacturer of rough terrain material handling vehicles, primarily to military customers, but with commercial applications for oil and gas, construction, remote logistics, intermodal logistics, mining, and forestry. In addition to the designing and manufacturing of rough terrain material handling equipment, IRTC is also a full spectrum provider for its fielded fleet, to include training, parts, and service. IRTC formerly d/b/a Kalmar Rough Terrain Center, LLC and was a subsidiary of Cargotec, a recognized leader in cargo and load handling solutions around the world.
IBCF’s investment will be used to actively pursue growth opportunities, and provide ongoing working capital needs for the business.
Jardine Foods, Buda, TX
Jardine Foods, Inc. is a manufacturer of high-end salsas, dips and sauces sold in grocery markets and specialty stores across the United States. Fund II’s investment supported a recapitalization of Jardine’s as well as provided growth capital.
Painless Performance Products, Fort Worth, TX
Painless is the primary operating subsidiary of Perfect Performance. The primary business of Painless is the manufacture of specialty electrical wiring harnesses for the high performance automotive after-market. Fund I provided preferred equity financing.
PMA PhotoMetals of Arizona, Inc., Phoenix, AZ
PMA is a leading designer and manufacturer of private-label and branded chemically-etched metal crafting dies for a spectrum of crafting suppliers and end consumers. The Company’s die offering is differentiated by its (i) best-in-class quality; (ii) non-stick proprietary coating; (iii) ability to produce intricate designs, and: (iv) lasting durability.
IBCF’s investment was used to facilitate the purchase of PMA by Ancor Capital Partners.
Raisbeck Engineering, Seattle, WA
Raisbeck is a globally recognized designer of performance parts for business aircraft, including turbofan propellers, ram air recovery systems, enhanced performance leading edges, dual aft body strakes, high flotation gear doors, and wing lockers.
Raisbeck’s performance systems are certified worldwide, and installed and supported by a global network of more than 100 service centers and authorized dealers. Raisbeck’s proprietary products are also factory installed by the OEM on certain aircraft.
IBCF’s investment was used to facilitate the purchase of Raisbeck by Acorn Growth Companies, an operationally-focused private equity firm based in Oklahoma City that focuses on aerospace and defense opportunities.
Barry B. Conrad, Managing Member
Mr. Conrad co-founded IBC Funds in 2000 and has been instrumental in IBC Funds’ success to date. From 1988 to 1998, he was a Founding and Managing Partner of Conrad/Collins Merchant Banking Group Ltd., a boutique merchant banking firm sponsoring lower-middle-market buyout and recapitalization transactions. From 1983 to 1988, he served as Senior Vice President and Manager of the Corporate Finance Department at Rauscher Pierce Refsnes, Inc., a Dallas-based regional investment bank. From 1974 to 1983, he was CEO of Hart Delta, Inc., a Baton Rouge, Louisiana-based pharmaceutical manufacturing company. Prior to that time, he was a partner at Howard, Weil, Labouisse, Friedrichs & Company and a predecessor company, Viguerie Hayne & Chaffe, Inc., both of which were New Orleans-based regional investment banking firms. In these capacities, he has been involved in a substantial number of public offerings, private placements, mergers, acquisitions, and other investment banking transactions. Mr. Conrad holds an AB degree from Marshall University.
Bill Miltenberger, Managing Member
Mr. Miltenberger rejoined IBC Funds in 2010 where he, as part of the general partner, focuses on sourcing, structuring, analyzing, and negotiating direct junior capital investments into lower-middle-market companies. Prior to rejoining IBC Funds, Mr. Miltenberger worked at Highland Capital Management, a $25 billion alternative investment asset manager. He started at Highland in 2006 as Senior Portfolio Analyst and was promoted to Portfolio Manager prior to leaving the firm in 2010. At Highland, Mr. Miltenberger managed investments in a $1 billion portfolio focused on the merchant power industry, where he was responsible for identifying stressed and distressed opportunities for inclusion into the portfolio, monitoring performing and non-performing assets, and participating on steering committees and company restructurings. Mr. Miltenberger’s performance was consistently in excess of the benchmark index returns. In 2002, Mr. Miltenberger joined the team at IBCF for the first time as Senior Associate. Before joining IBCF, Mr. Miltenberger worked at Hibernia Capital Corporation as Venture Capital Officer. Mr. Miltenberger received his MBA from the Kellogg School of Management at Northwestern University with majors in Finance and Strategy and graduated from Loyola University New Orleans with a BBA.
Larry Carter, Managing Member
Mr. Carter joined IBC Funds in 2021, after serving as managing director and principal of three prior SBIC funds with Diamond State Ventures (“DSV”). Throughout his 22 years at DSV, the combined funds invested over $220 million of total capital into 66 portfolio companies. DSV co-invested alongside IBC Funds in a number of portfolio companies over a relationship spanning more than 20 years. Mr. Carter is responsible for all aspects of deal management including sourcing, structuring, analyzing, and negotiating direct junior capital investments as well as working with management teams post-closing. His experience includes investment banking with PaineWebber in New York, equity syndications with First Chicago Corp. in Chicago, and deal originations with Bank of America (NationsBank) in Dallas. He has served as President of the Southern Region Board of the Small Business Investor Alliance as well as a National Board Member. Larry graduated from the University of Arkansas in 1987 with a B.S. in Business Administration focusing on the financial management program.
Meg Taylor, Managing Member and Chief Financial Officer
Ms. Taylor joined IBC Funds in 2000 and has been in the private equity and investment banking industry since 1990. Since joining IBC Funds, Ms. Taylor has also assisted in the formation and operation of several other private equity funds. From 1995 to 1999, she was Controller of Hicks, Muse, Tate & Furst Incorporated, a Dallas-based investment firm specializing in leveraged acquisitions and private equity investments. From 1990 to 1994, Ms. Taylor was Assistant Controller of Sunwestern Investment Group, a Dallas-based venture capital company. From 1987 to 1990, she was employed by Ernst & Young in the audit division. Ms. Taylor is a Certified Public Accountant, and has a BBA in Accounting from Texas Tech University.
John Dyar, Principal
Mr. Dyar joined IBC Funds in 2015 and is responsible for sourcing, structuring, analyzing, and negotiating direct junior capital investments into lower-middle-market companies. Prior to joining IBC Funds, Mr. Dyar started his career in the valuation practice of EY’s Transaction Advisory Services division, where he performed valuations of public and private business enterprises, legal entities, intangible assets and preferred and common equity interests. His primary focus was performing mark-to-market valuations for private equity clients in the upstream oil and gas sector. Mr. Dyar received his BBA in both Finance and Economics from Southern Methodist University in December 2011.
Tyler Bozynski, Principal
Mr. Bozynski joined IBC Funds in 2021 after previously investing out of two prior SBIC funds with Diamond State Ventures, which co-invested with IBC Funds in a number of portfolio companies over a relationship spanning more than 20 years. Prior to IBC Funds, he joined Diamond State Ventures for the second time in 2014 after serving as an associate with the firm from 2006 to 2008. Previous experience includes investment banking, equity research, and wealth management roles at Stephens Inc., an investment bank headquartered in Little Rock, Arkansas. In addition to sourcing, structuring, analyzing, and negotiating direct junior capital investments into lower-middle-market companies, Mr. Bozynski’s responsibilities include overseeing many of the firm’s finance and administrative operations for Diamond State Ventures legacy portfolio, including portfolio management, financial reporting and regulatory compliance. Mr. Bozynski received a B.S. in Business Administration with a double major in Finance and Marketing from the University of Arkansas in 2004.
Jacob Bailet, Senior Associate
Prior to joining IBC Funds, Mr. Bailet was an Analyst at Pinecrest Capital Partners, where he was involved in the execution of middle market mergers and acquisitions across various industry segments. Mr. Bailet began his career as an Analyst in the valuation practice of Houlihan Lokey’s Transaction Advisory Services division, where he performed valuations of senior and junior debt and equity securities. Mr. Bailet received his BA in Finance from The University of Washington.
