Chicago-based private equity firm Wynnchurch Capital has sold its portfolio company Labrie Group to Finnish industrial company Hiab for $1.04 billion, marking one of the largest private equity exits in the Chicago market this year.
Labrie, based in Quebec, manufactures truck bodies for the waste management industry, including front-loading, side-loading, and rear-loading refuse bodies. Wynnchurch acquired Labrie in 2017 and expanded the business through operational improvements and strategic investments in product development.
The $1.04 billion sale price represents a significant return for Wynnchurch, which focuses on middle-market companies in the industrial, manufacturing, and business services sectors. The firm, headquartered in the Chicago suburb of Rosemont, has completed more than 50 platform investments since its founding and manages approximately $5 billion in capital.
Hiab, part of Finnish lifting and load handling company Cargotec, said the acquisition strengthens its position in the North American waste collection vehicle market. The deal gives Hiab a manufacturing footprint in Canada and the United States, along with an established dealer network serving municipalities and private waste haulers.
The transaction reflects ongoing interest from European industrial companies in acquiring North American manufacturing assets, particularly those serving essential infrastructure markets. Waste management, a recession-resistant sector driven by population growth and regulatory requirements, has attracted increasing investor attention in recent years.
For Chicago’s private equity community, the Labrie exit is a reminder that middle-market buyouts can still generate outsized returns despite a challenging deal environment marked by elevated interest rates and tighter lending standards. Wynnchurch has not disclosed its return multiple, but industry sources estimate it exceeded 3x invested capital.
Source: Crain’s Chicago Business | Business of Chicago
