The Chertoff Group

CHERTOFF CAPITAL ADVISES GRIFFON CORPORATION ON ITS DIVESTITURE OF SYSTEMS ENGINEERING GROUP

Washington, DC, January 4, 2021 – Chertoff Capital, LLC (“Chertoff Capital”) is pleased to have represented Griffon Corporation (“Griffon”) (NYSE:GFF) in the divestiture by its subsidiary, Telephonics Corporation, of Systems Engineering Group, Inc. (“SEG”) to QuantiTech LLC (“QuantiTech”), a portfolio company of Sagewind Capital LLC.

Headquartered in Columbia, Maryland, SEG is a leading provider of space and missile defense engineering services to the U.S. Government that primarily supports the Naval Surface Warfare Center, Missile Defense Agency, and Office of Naval Intelligence. SEG provides advanced, physics-based threat modeling, engineering, and analytics services in support of U.S. Government requirements for weapons and missile systems development, simulation, testing, and analysis. The management team and employees of SEG will continue with the business as a part of QuantiTech.

Chertoff Capital, a wholly-owned subsidiary of The Chertoff Group, served as the exclusive investment banking advisor to Griffon.

Ryan Hoffman, Managing Director with Chertoff Capital, said: “As the U.S. confronts the advancing space and missile weaponry of its near-peer competitors, defense forces and intelligence agencies are investing to advance the nation’s space and missile defense systems. With strong domain expertise in hypersonics, combat, radar, missile systems engineering, and intelligence analysis, SEG will leverage QuantiTech’s complementary customers and capabilities to address an expanding set of space and missile defense requirements. We are honored to have represented Griffon in this transaction and look forward to supporting SEG and QuantiTech in the future.”

Jason Kaufman, President of Chertoff Capital, added “The SEG transaction caps a successful year for our firm, which achieved successful outcomes for our clients in the face of historic uncertainty. Building on our strong momentum from 2020, we are looking forward to continuing to deliver premium outcomes and exceptional service to our M&A clients in the new year.”

ABOUT CHERTOFF CAPITAL LLC
Chertoff Capital is an industry leading investment bank serving high growth, mission-focused companies in the national security, information security, and government technology markets. As the investment banking subsidiary of The Chertoff Group, Chertoff Capital provides clients with a highly differentiated advisory offering that brings together transaction expertise with unparalleled business strategy insights. Chertoff Capital professionals have advised on well over 100 transactions over the last 20 years.

ABOUT GRIFFON CORPORATION
Griffon is a diversified management and holding company that conducts business through wholly-owned subsidiaries. Griffon oversees the operations of its subsidiaries, allocates resources among them and manages their capital structures. Griffon provides direction and assistance to its subsidiaries in connection with acquisition and growth opportunities as well as in connection with divestitures. In order to further diversify, Griffon also seeks out, evaluates and, when appropriate, will acquire additional businesses that offer potentially attractive returns on capital.

Griffon currently conducts its operations through three reportable segments:

• Consumer and Professional Products (“CPP”) conducts its operations through The AMES Companies, Inc. (“AMES”). Founded in 1774, AMES is the leading North American manufacturer and a global provider of branded consumer and professional tools and products for home storage and organization, landscaping, and enhancing outdoor lifestyles. CPP sells products globally through a portfolio of leading brands including True Temper, AMES, and ClosetMaid.

• Home and Building Products conducts its operations through Clopay Corporation (“Clopay”). Founded in 1964, Clopay is the largest manufacturer and marketer of garage doors and rolling steel doors in North America. Residential and commercial sectional garage doors are sold through professional dealers and leading home center retail chains throughout North America under the brands Clopay, Ideal, and Holmes. Rolling steel door and grille products designed for commercial, industrial, institutional, and retail use are sold under the CornellCookson brand.

• Defense Electronics conducts its operations through Telephonics Corporation, founded in 1933, a globally recognized leading provider of highly sophisticated intelligence, surveillance and communications solutions for defense, aerospace, and commercial customers.

For more information on Griffon and its operating subsidiaries, please visit www.griffon.com

ABOUT SYSTEMS ENGINEERING GROUP
Founded in 1991 and headquartered in Columbia, Maryland, SEG provides sophisticated, highly technical engineering and analytic support to customers. As a leading provider of combat, radar and missile systems engineering and analysis, SEG is a key source of systems engineering expertise for the U.S. Government, specifically within missile defense, hypersonics, and intelligence analysis. www.systemsengineeringgroup.com

ABOUT QUANTITECH
QuantiTech is a leading provider of highly technical engineering services to the Army, Air Force, NASA, and various other key defense agencies responsible for maintaining technological superiority. Its capabilities are focused on high-end engineering, software services, modeling & simulation, cybersecurity, test & evaluation, and program management for key defense end-markets such as hypersonics, counter unmanned aircraft systems, and human spaceflight. QuantiTech was founded in 1991 and is headquartered in Huntsville, AL. www.quantitech.com

ABOUT SAGEWIND CAPITAL
Sagewind Capital is a New York-based middle-market private equity firm that partners with exceptional management teams and focuses on significant capital appreciation by helping businesses grow organically and through strategic acquisitions. Sagewind invests across several industries, including government services, aerospace & defense, software, information technology, healthcare, and business services. The firm is focused on long-term capital appreciation and has the flexibility to own businesses for extended periods. www.sagewindcapital.com

Schedule a Consultation

Contact us today to learn what we can do for you.

Schedule a Consultation