Innovative Office Products Acquires HAT Contract
Acquisition of Leading Contract Furniture Provider to Extend Innovative’s Global Leadership in Workspace Ergonomic Solutions
Innovative Office Products, LLC (“Innovative”) on June 7 announced that it has completed the acquisition of HAT Contract (“HAT”), a San Jose-based, leading North American designer, contract manufacturer and distributor of office ergonomic products including height adjustable tables, power/data beams, drawer pedestals, dividers, work surfaces and electrical components for benching and bases. HAT’s founders, Brian McNay and Tony Glaves, will continue to manage the HAT business operations reporting to Innovative CEO David Fox.
HAT was founded in 2013 by Messrs. McNay and Glaves after significant experience in the contract office furniture market. In the five years since its inception, HAT has rapidly grown to be one of the largest suppliers of height adjustable bases and related products selling to national and global corporations throughout North America.
The height adjustable segment of the office furniture market continues to benefit from strong tailwinds as new and existing offices are being reshaped by the introduction of ergonomic and innovative office productivity solutions. HAT products are exceptionally recognized in the contract office marketplace as an accelerator of the movement towards open office environments. HAT’s products are known for the health benefits associated with height adjustability and the company provides a unique combination of quality lines, exceptional service and value.
Based in Easton, Pennsylvania, Innovative is an award-winning, North American designer and manufacturer of office / workspace ergonomic and related products including monitor arms, sit-stand workstations, multi-monitor mounts and desk stands, point-of-sale (POS) mounts and healthcare and specialty OEM mounting solutions. Innovative began as a family-owned operation in 1986 and has grown into a global company over the past 30 plus years. The Company designs, develops and assembles leading products in the U.S. and sells into multiple markets including corporate offices, retailers, hospitality providers, hospitals and other healthcare providers and to the government. Currently, Innovative serves an account base in North America, Europe (through its Copenhagen office) and Australia.
Innovative is a portfolio company of Cathay Capital (“Cathay”). In addition to Cathay, the shareholders of Innovative include senior members of management, Norwest Mezzanine Partners (“Norwest” or “NMP”) and ORIX Mezzanine & Private Equity (“ORIX”). Cathay’s cross-border strategy focuses on providing access for its North American portfolio companies to resources and networks in China and Europe in order to establish sales relationships, improve operating and sourcing capabilities, and to enhance the strategic capabilities of portfolio companies in key global markets.
“The Ergonomic segment of the office furniture industry has been growing in a very healthy fashion in North America as an increasing percentage of professionals and employers continue to focus on smart office products that enhance workplace health and wellness while improving employee productivity. On behalf of the entire Innovative team, we are delighted to have HAT become a part of our family and are thrilled to partner with Brian (McNay) and Tony (Glaves) to fuel the rapid expansion of this powerful, high growth platform over the coming years. Our strategic visions are perfectly aligned and we are excited to achieve dynamic growth on multiple continents as we plan to continue to develop innovative ergonomic and mounting solutions together to satisfy expanding demand for products that improve health, wellness and productivity,” said Innovative CEO David Fox.
“We founded HAT with the vision of delivering next-generation workspace ergonomic solutions to businesses of all sizes and in all industry segments, helping them achieve smart and efficient workplace transformations,” said Brian McNay, HAT co-founder. “We are excited to join Innovative and bring product enhanced solutions for the open office environment and ergonomics solutions to many global customers in all markets.”
About Innovative
Innovative (www.innovativeworkspaces.com) is an award-winning designer and manufacturer of ergonomic products and accessories that improve health, wellness and productivity across a range of work environments, including the office, healthcare and point of sale markets. The Company has over 150 employees working in the U.S. to design and assemble a majority of products in its Easton, PA headquarters. Innovative works closely with customers from start to finish, providing a range of high quality products that exceed client expectations.
About HAT Contract
HAT (www.hatcontract.com) is a leading North American designer, contract manufacturer and distributor of office ergonomic products including height adjustable tables, power/data beams, drawer pedestals, dividers, work surfaces and electrical components for benching and basis. The Company has approximately 20 employees working in the United States with its headquarters in San Jose, California.
About Cathay Capital
Cathay Capital (www.cathay.fr) is a leading international private equity firm in the field of cross-border investment, committed to supporting the international expansion of middle-market companies in North America, China and Europe. Cathay Capital’s team of over 50 professionals is based in New York, Shanghai, Beijing, Paris, Munich, and Silicon Valley, and leverages Cathay’s unique business model and platform to help create value for companies across three continents. With more than $2.0 billion in assets under management across its funds, Cathay Capital has completed buyouts and growth capital investments in over 80 platform companies across three continents since its inception in 2007. Cathay Capital invests in middle-market companies in the consumer goods and services, healthcare, business services and technology industries.
Innovative Contact:
David Fox, CEO, dfox@innovativeworkspaces.com, +1 610 559-6363
HAT Contacts:
Brian McNay, President, brian@hatcontract.com, +1 408 437-8770
Tony Glaves, CEO, tony@hatcontract.com, +1 408 437 8770
Cathay Capital Contacts:
David G. Hoffman, Managing Partner, david.hoffman@cathay.fr, +1 212 858-9480
Mark Woods, Partner, mark.woods@cathay.fr, +1 212 858-9721
