The sale of a majority stake in Richmond lab equipment company Grenova Inc. to Greenwich, Connecticut, private equity firm Peloton Equity LLC will allow it to implement future growth plans, said Ali Safavi, Grenova’s founder, president and CEO.
Safavi declined to reveal terms of the deal or Grenova’s revenue, only classifying the sale as a “stronger partnership” to support the company’s mission. The company manufactures technology that washes and sterilizes devices used in diagnostic testing, allowing them to be reused rather than thrown away.
“Now we are able to infuse the company with the growth capital to be able to develop more new technology, advance our technology, create new products and expand our marketing and sales force, and be able to expand into the European market,” said Safavi.
The company recently hired a sales manager for the U.K. and Ireland.
Grenova’s products, manufactured in its Scott’s Addition facility, help labs and life science companies become more efficient and reduce costs. They can also help avoid some supply chain challenges that could impact operations — something Safavi said his company has recently experienced.
Founded in 2014, Safavi said Grenova has a 60-person headcount and has grown by over 800% in the last two years. He predicts continued steady growth. Last year, the company announced it was investing $10.6 million to expand in Richmond, with plans to add 250 jobs across three years.
The many medical needs associated with the Covid-19 pandemic were key to Grenova’s growth and its products being accepted by the market faster. Now it’s looking to implement its technology for other systems.
“The biggest challenge for our company is to be able to continue our growth, develop new products and stay ahead,” said Safavi. “We created a market that didn’t exist before and now is seen as an industry leader. We want to be the company that everyone refers to as the technology for labs and life sciences.”
The Hamilton Lane Impact Fund II and Morgan Stanley AIP Private Markets, both of Conshohocken, Pennsylvania, also participated in the deal, partnering with Grenova management and other investors to acquire the majority stake, according to an announcement.
