KCM CAPITAL COMPLETES ACQUISITION OF CAROLINA FILTERS
Carolina Filters Represents Initial Platform Investment Within Broader KCM Strategy Focused on Mission-Critical Filtration Solutions and Services
June 20, 2025
Chicago-based private investment firm KCM Capital Partners LLC (“KCM”), an investor in lower middle-market business services, value-added distribution, and specialty industrial companies, announced today that it has completed a majority investment in Carolina Filters, Inc. (“Carolina Filters” or the “Company”) headquartered in Sumter, SC. The transaction was completed in partnership with Company management and Chicago-based private equity firm Benford Capital Partners ("BCP"). Terms of the transaction were not disclosed.
Founded in 1968, Carolina Filters is a provider of mission critical filtration products and services to a diversified mix of industrial and commercial customers across the U.S. The Company provides a comprehensive suite of filtration solutions across three business divisions – (i) Carolina PEC, a provider of specialized cleaning and testing of mission critical industrial process filtration applications, (ii) Carolina IAQ, a provider of turnkey indoor air quality solutions including filter service, fire damper testing, and coil and duct cleaning, and (iii) Carolina Filter Supply, a distributor of air filters, liquid filters, filter housings, and custom order kitting.
“We are thrilled about the partnership with Carolina Filters and BCP and the opportunity to support the Company's outstanding senior leadership team in achieving exciting growth objectives they’ve established,” said Derek Ferguson, Partner at KCM. “The Company’s filtration products and services are best-in-class, supported by a rigorous commitment to quality service and customer satisfaction. This impressive focus has positioned the business as a well-regarded market leader with its diversified network of commercial and industrial customers.” Added Dylan Brennan, Vice President at KCM, “We believe our investment and strategic support will enable Carolina Filters to further expand its geographic reach, make investments in infrastructure and people, as well as execute on add-on acquisitions. We appreciate the capital support provided by our partner Benford Capital Partners and look forward to executing this strategy together with them and Company management.”
Andrew McCord, CEO of Carolina Filters said, “We’re excited to partner with KCM and BCP as we enter this next chapter of growth. Their investment and strategic support will allow us to build on our strong foundation, enhancing our capabilities, accelerating innovation, and delivering even greater value to our customers. This is a meaningful opportunity for both our team and those we serve.”
Consistent with KCM’s investment philosophy – Keeping Continuity Matters – Carolina Filters will remain under the guidance of current senior leadership, who is actively invested in the business and will continue to oversee day-to-day operations. KCM plans to work closely with Carolina Filter’s management team to support the Company’s continued growth and success. The acquisition will provide Carolina Filters with access to additional capital and resources to invest in areas such as technology, employees, new products and service offerings, acquisitions, and strategic geographic expansion.
Byline Bank provided senior debt financing in support of the transaction, while Katten Muchin Rosenman LLP served as legal counsel to KCM.
About Carolina Filters:
Carolina Filters has been a supporter of mission-critical filtration applications for over half a century. Its journey began as an air filter service provider in the 1960s, and it later pioneered process equipment cleaning techniques for polymer melt filters in the 1980s. True to its original slogan, “Committed to Quality Service,” with three distinct and independent divisions: Carolina PEC, Carolina IAQ, and the newly formed Carolina Filter Supply, each business unit delivers unparalleled customer service and innovative engineered solutions to the broader filtration industry. For more information, please visit https://www.carolinafilters.com/.
About KCM Capital Partners:
KCM Capital Partners is a Chicago-based private investment firm focused on investing in lower middle-market business services, value-added distribution and specialty industrial businesses throughout the U.S. Founded in 2017, KCM follows a simple philosophy – Keeping Continuity Matters – which is emblematic of our belief in the importance of a healthy culture and collaborative, trustworthy partnerships. With this strategy in mind, we look to support founders and management teams of niche market leaders with creative solutions and strategic guidance to effect transformational growth. For more information, please visit www.kcmcap.com.
Contact:
Derek Ferguson
Partner
(312) 577-8506
dferguson@kcmcap.com