After posting a net loss in 2006, CompuDyne Corp. took perhaps the best route possible: It decided to go private. The company, which develops security and integration technology for the public security markets, agreed Monday to be acquired for $59.1 million by an investor group consisting of affiliates of Los Angeles-based the Gores Group LLC and industry executive Stuart Mackiernan. Clearlake Capital Group LP will provide debt and equity financing to the investor group in the deal. The offer price of $7 per share represents a 32% premium to the closing price of CompuDyne’s common stock as of Aug. 6. USBX Advisory Services LLC in Santa Monica, Calif., advised CompuDyne on the deal, and the company also worked with lawyers from Ballard Spahr Andrews & Ingersoll LLP. Friedman Billings Ramsey & Co. advised the investor group, and Bingham McCutchen LLP, along with Skadden, Arps, Slate, Meagher & Flom LLP and Alston & Bird LLP, acted as legal counsel to the group.

In April, the company reported a net loss of $15 million for 2006, compared with net income of $8.7 million in 2005. The loss was due to a $16 million one-time charge related to the company's public safety and justice business.

The deal came one month after the Gores Group closed its second private equity fund of $1.3 billion. The buyout shop's new investment vehicle, Gores Capital Partners II LP, will be used for investments in mature companies, mainly in the technology, industrial, telecommunications and services sectors. —Cheryl Meyer

See Aug. 7 story from BizJournals.com
See Aug. 7 story from Reuters.com
See July 6 story from TheDeal.com

Tags: private+equity, LBO