MiddleGround Capital Completes Acquisition of Majority Ownership Stake in Helix
Lexington, KY and Amsterdam, Netherlands, July 29, 2024: MiddleGround Capital (“MiddleGround”), an operationally-focused private equity firm that makes control investments in North American and European headquartered middle market B2B industrial and specialty distribution companies, today announced it has acquired a majority ownership stake in Integral Powertrain Ltd. (“Helix” or the “Company”), a leading designer and manufacturer of high-performance electric motors, high-voltage inverters, and integrated electric drive units for a variety of rapidly-growing applications in the Mobility sector. The Company’s founding shareholders will remain minority owners and partners of the business following the transaction.
Headquartered in Milton Keynes, U.K., and initially established in 1998 as an automotive and motorsport engineering consultancy, Helix, since 2009, has focused on the development and production of advanced high-performance electric powertrain solutions. The Company’s range of fully-scalable high-power-density electric motors, inverters, and EDUs are engineered and manufactured in-house and have applications in several high-growth e-mobility markets, including top-level Motorsport, electric hypercars and supercars, electric Vertical Take-Off and Landing (eVTOL) aircraft, electric high-performance motorcycles, and electric watercraft.
“Our investment in Helix represents a continuation of our strategy of partnering with leading companies aligned with our Mobility Thesis, particularly given their pioneering, high-performance motor and inverter technology,” said John Stewart, MiddleGround Founding Partner. “The Company is well-positioned to scale its product offerings and expand its addressable market, capitalizing on the shift towards electric vehicles. We are very excited to lend our deep operational experience to their talented team, and to assist them in reaching their next stage of growth.”
“We are thrilled to expand our coverage of hypercar and motorsport sectors and to build our presence in marine and aerospace with this strategic investment,” said Alex Van Der Have, MiddleGround Managing Director, Investments. “Helix is a leader in developing advanced powertrain solutions, and our teams have a natural alignment on how best to approach this fast-paced and growing industry sector.”
Helix stands as one of the most trusted sources for high-performance electric propulsion solutions in the Motorsport, high-performance automotive, and other e-mobility markets, with strong design and engineering capabilities. MiddleGround aims to add value and unlock future revenue growth by further enhancing Helix’s commercial strategy, building out production capacity to meet increasing demand, implementing procurement best practices, investing in new product development, and expanding into new markets and product segments within the United States.
“For 15 years Helix has been a pioneer in the realisation of powerful, compact, efficient electric drive systems enabling our clients to achieve outstanding, often record-breaking products,” said Darren Cairns, Helix Director, and CEO. “We have established a proven track record, and our Scalable Core Technology has become one of the most trusted sources for high-performance electric propulsion products in the eMotorsport and hypercar markets. With the support of MiddleGround’s operational expertise and guidance, I am confident that we will have the necessary tools to continue to ramp up growth efforts and reach a wider range of clients at a greater scale.”
MiddleGround Capital has deep experience in the high-performance motorsport sector through its portfolio investments in Xtrac, a leading global supplier of professional motorsport and specialized high-performance automotive transmission systems, and Race Winning Brands, a leading manufacturer and marketer of racing and high-performance engine components sold to the automotive and powersports markets. The investment in Helix represents the fourth transaction completed by MiddleGround’s European team since the establishment of its Amsterdam office in January 2023.
Advisors
Clifford Chance LLP served as legal advisor to MiddleGround. Alvarez & Marsal served as financial and tax advisors to MiddleGround.
About Helix
Established in Milton Keynes in the UK, Helix (formerly Integral e-Drive) is a manufacturer of the world’s most power-dense electric motors and inverters. They are a full-service supplier of premium electric powertrains, providing access to outstanding performance for makers of electric and hybrid cars, motorcycles, and boats, as well as next-gen industrial and aerospace applications, through its proprietary Scalable Core Technology (SCT). Helix’s powertrain advantage is ultimate power density that is delivered through its 3-tier motor and inverter product hierarchy. Manufacturing at their new flexible facility in Milton Keynes means a secure, reliable end-to-end supply solution for product offerings. Originally established in 1998 as an ICE consultancy, Helix has been recognized as a designer and manufacturer of electric motors and inverters since 2009. The company employs around 200 employees and has approximately 86,000 square feet of engineering and manufacturing space across three sites in Milton Keynes, United Kingdom. For further information, please visit ehelix.com.