Exacto announces growth investment from S2G Ventures and Skyline Global Partners

Date:09-05-2024

Exacto^®, LLC ("Exacto"), a full-service innovation partner in the agricultural, turf, and ornamental horticulture markets, announced a growth investment from S2G Ventures ("S2G") and Skyline Global Partners ("Skyline"). This strategic investment seeks to strengthen Exacto's leadership position and accelerate the introduction of new solutions, including in soil and water management.

With this new partnership, Exacto aims to expand its impact across the agricultural supply chain, advancing sustainable practices and improving resource efficiency. The infusion of capital and experience from S2G and Skyline will help enable Exacto to scale its operations, with the goal of bringing new solutions to market faster and expanding its footprint in key growth areas while maintaining profitability.

Founded in 1981, Exacto brings over four decades of experience in developing comprehensive, full-season offerings that enhance crop protection, plant health, nutrition, seed treatments, and soil enhancement products. By improving application efficiency and reducing environmental impact, Exacto's products seek to deliver superior results for customers and growers, boosting crop performance and driving positive economic outcomes.

Exacto's commitment to innovation and intellectual property has made the company a trusted partner for leading agrichemical distributors and retailers. Exacto products are used annually on 130 million U.S. acres. This investment marks a pivotal moment in Exacto's growth journey, positioning the company for even greater success as it continues to prioritize technology-driven advancements.

As part of this investment, Exacto's current management team, led by CEO Wally Beecroft, will remain in place, ensuring continuity as the company enters its next growth phase. Looking ahead, Exacto also plans to make strategic hires and expand its leadership team to further support its ambitious growth objectives.

"Our family started Exacto in 1981. As we have grown to be the industry leader we have always worked to develop leading formulations; the highest quality; and a culture based on values, processes and innovation. S2G and Skyline are the perfect partners to accelerate our growth globally around our full growing season solutions," said Kenny Cox, CEO of Cox Family Holdings.

"Exacto is a hidden gem that will flourish and accelerate as a part of S2G and Skyline. Exacto's innovation pipeline is unmatched on traditional chemistry and fast growing biological product segments. Exacto uniquely partners and leads their customers to improved delivery and results," said Kip Pendleton, Board Member of Cox Family Holdings.

This investment will enable Exacto to further build on its strong foundation by focusing on three key areas: capacity expansion; IP investments; and enhancing commercial team and customer service excellence. With S2G and Skyline's support, Exacto also plans to further invest in its innovation pipeline and expand its global presence.

"Our perspective is that Exacto's management team has built a remarkable business with a strong IP strategy and market leadership in the private label sector," said Sanjeev Krishnan, Managing Partner at S2G. "With the support of S2G's value creation capabilities, we believe Exacto is poised to strengthen its position as an industry leader and continue to innovate at the forefront of the sector. We look forward to supporting the management team and existing shareholders as they lead Exacto into its next phase of growth."

"At S2G, we see tremendous potential in Exacto's ability to scale," said Cristina Rohr, Managing Director at S2G. "Our focus will be on activating key growth levers, including geographic expansion and strategic investments in IP, to enhance Exacto's capacity to consistently deliver outstanding value to its customers."

Hennepin Partners served as financial advisor and Faegre Drinker Biddle & Reath served as legal counsel to Cox Family Holdings in connection with the transaction. Perkins Coie LLP served as legal counsel to S2G.