Pegasus Capital Group ("Pegasus") is pleased to announce the sale of its interest in Midwest Automotive Designs ("Midwest"). Midwest, a leading upfitter of custom luxury vans and RVs, was recently acquired by REV Group (NYSE: REVG), a $2+ billion manufacturer of specialty vehicles. The company is based in Elkhart, IN. Pegasus invested in the recapitalization of Midwest alongside Merion Investment Partners and Petra Capital Partners.
In just three years in the Pegasus portfolio, Midwest's revenue more than doubled to $45 million. Founder and President, Tim Gray, remained a major shareholder following the original investment. Gray's leadership and the capital infusion accelerated the company's expansion, aided by the key additions of CEO Harry Schmink and CFO Sam Lugo to the team. Growth primarily resulted from leveraging Midwest's superior products, reputation and brand to develop new markets and distribution channels, including those for Class B RVs.
Patrick Whelan, Managing Partner at Pegasus, said, "We are extremely satisfied with the progress the company made during our partnership with Merion and Petra. This has been a highly successful investment for our firm and we wish the entire Midwest team continued success."