UMECC Achieves Growth with $2.5 Million Investment from Advantage Capital
Deal News | Jan 27, 2025 | Advantage Capital
Advantage Capital, a prominent impact investment firm, has invested $2.5 million in United Metallurgical Equipment Companies of Cincinnati (UMECC), an Ohio-based provider of equipment to the steel production sector. This funding has enabled UMECC entrepreneur Adam Salmen to acquire a controlling stake in the company, facilitating its expansion within Ohio and enhancing services to North American steel manufacturers. The investment aligns with the Federal and Ohio New Markets Tax Credit (NMTC) programs, which aim to stimulate investment in low-income communities. UMECC offers comprehensive technical solutions and engineering expertise for integrated steel mills and other facilities, positioning itself for significant growth. Advantage Capital, known for its focus on underserved areas, has highlighted UMECC's role in one of America's core industries and its potential for continued expansion.
Sectors
- Steel Production Equipment Industry
- Impact Investment
Geography
- United States – Both Advantage Capital and UMECC operate in the U.S., and the investment is aimed at expanding operations in Ohio, in line with federal and state tax credit programs.
- Ohio – Main location for UMECC's operations and expansion efforts, particularly targeted by the Advantage Capital's investment and aligned with local New Markets Tax Credit Program incentives.
Industry
- Steel Production Equipment Industry – The industry involves the manufacturing and supply of machinery and equipment used in steel production and processing. UMECC specializes in providing equipment for steel mills, playing a critical role in this sector.
- Impact Investment – Involves investing in firms that generate social and environmental impact alongside financial returns, as demonstrated by Advantage Capital's focus on underserved communities.
Financials
- $2.5 Million – The amount invested by Advantage Capital into UMECC to support its expansion.
Participants
| Name | Role | Type | Description |
|---|---|---|---|
| Advantage Capital | Investor | Company | An impact investment firm providing capital to underserved areas, supporting economic growth and development. |
| UMECC (United Metallurgical Equipment Companies of Cincinnati) | Target Company | Company | A supplier of metallurgical equipment to North America's steel industry, expanding operations with new investment. |
| Adam Salmen | Entrepreneur/Group CEO | People | Acquired a controlling stake in UMECC, leading its growth and expansion efforts in Ohio. |
| Joe Henderson | Senior Vice President | People | Represents Advantage Capital in the partnership with UMECC. |
| Federal and Ohio New Markets Tax Credit (NMTC) Programs | Financing Partner | Government | Programs designed to attract private investment to low-income communities, aiding UMECC's development and expansion. |