Leading Chicago Private Equity Firm Red Arts Capital Expands Team As Deal Activity Grows

Q4 2021 Deal Exit In The Top .9% Of All Managers

CHICAGO--(BUSINESS WIRE)--Red Arts Capital, LLC (“Red Arts Capital”), a leading middle-market, sector-focused private equity investment firm and preferred investment partner for family-owned supply chain-related businesses, announced the expansion of its team with the addition of Michael Henkels as Vice President and Danielle Gerbie as the firm’s new Chief of Staff. Red Arts Capital is expanding its ranks following the recent $150 million exit of one of its pre-fund portfolio companies, RAC MME Holdings, LLC. The investment return from that sale was in the top one percent of performance of all buyout deal exits in the fourth quarter of last year, the timing of which also closely coincided with the launch of its first fund, Red Arts Capital Opportunity Fund I, L.P., according to recent SEC filings.

Henkels will be responsible for deal sourcing, investment evaluation and execution, and monitoring investments. He brings a range of private equity industry experience to Red Arts Capital having worked across multiple sectors.

“I am excited to join a fast growing private equity firm that has a proven expertise in the supply chain industry. Red Arts Capital Co-Founders, Nick Antoine and Chad Strader, have assembled a team and investment theses that are ideal for continued growth and success,” said Michael Henkels, Vice President at Red Arts Capital.

Most recently, Mike worked as an investment professional at Comvest Partners in West Palm Beach, Florida where he oversaw more than $5.4B in AUM. He led the team in evaluating and executing investments, as well as assisting in the monitoring of portfolio companies and the launch of Comvest’s special opportunities fund. Prior to Comvest, Mike worked as an investment professional at Bertram Capital, where he focused on investment evaluation, deal execution, and portfolio company management across several industry sectors. Mike began his career in New York at the $78B AUM firm, Rothschild & Co., for their Consumer M&A investment banking team.

Also, Danielle Gerbie was named Chief of Staff. Gerbie comes to Red Arts Capital with operational experience in both the public and private sectors. Prior to joining Red Arts, Gerbie worked directly with the CEO and Founder of Flexpoint Ford, who also served as the Chairman of the Board of Trustees of the University of Illinois System. Additionally, Gerbie served as Chief of Staff to the CEO of Stride Autism Centers, a healthcare organization that supports children with autism throughout the Midwest. Gerbie graduated from Indiana University where she received her BS in Management.

“We are thrilled that Mike and Danielle have joined the Red Arts team and believe they will be important and valuable contributors as we continue to grow our firm,” said Chad Strader, Co-CEO, Co-Founder and Managing Partner of Red Arts Capital.

In December, Red Arts Capital sold Midwest Motor Express to Knight-Swift Transportation generating a nearly 8.0x gross multiple on invested capital and over a 6.0x multiple, net of fees, for its investors. Overall, the firm’s pre-fund portfolio has generated nearly a 7.0x gross multiple on invested capital, and a 5.3x net multiple as of March 14, 2022, placing it in the top 1.4% of nearly 5,000 private equity buyout managers over 10 years of data, according to Preqin’s database.¹

1. Past performance is no guarantee of future results. Net performance is net of all fees. Partially realized value of all equity dollars in each platform strategy. Calculated as of March 14, 2022. All estimates have been internally calculated. Additional information regarding the calculation of performance is available upon request

​​About Red Arts Capital

Based in Chicago, Illinois, Red Arts Capital is a leading investment firm focused on supply chain-related, transportation and logistics businesses. Red Arts Capital seeks to partner with and invest in privately-owned, primarily family-owned, and multi-generational businesses with solid business fundamentals and a strong track record and reputation. With sector expertise and a commitment to stewardship and excellence, Red Arts Capital’s approach earns the firm a trusted seat at the table with portfolio companies, investors and partners. For more information, please visit: www.redartscapital.com.