Our approach > Case studies > Innovista

Portfolio optimisation strategy of a global leader in premium sensors, controls and motion products following a complex transatlantic carve-out

Market position in niche segments

+50%

Market share in selected applications

Overview

Key facts

Sector

Industrial Goods & Services

Headquarters

United States

Investment date

September 2014

Ownership

68% (PAI / Carlyle joint control)

Exit date

September 2019

Learn More

In September 2014, PAI invested in Innovista Sensors, a US-headquartered global leader in the manufacture of sensors, controls and motion products serving the industrial, aerospace & defence, and transportation markets.

The investment was structured as a carve-out from Schneider Electric, creating an independent platform focused on mission-critical sensing and control technologies. Innovista held leading positions in niche segments, including the number one positions in solid state relays and linear variable differential transformers in the US.

During PAI’s ownership, Innovista underwent a significant transformation, combining operational improvements with active portfolio management. Through a series of targeted disposals and optimisation initiatives, the business sharpened its strategic focus and unlocked substantial value.

Creating value from a carve-out by partnering with the vendor and leveraging PAI sector expertise

Innovista was created through a carve-out from Schneider Electric. PAI worked closely with the seller to establish a fully independent platform and invited Schneider Electric to reinvest in the transaction. This collaborative approach, combined with PAI’s experience in carve-outs, ensured a smooth separation across multiple geographies and end markets, while enabling management to quickly lay the foundations for future value creation.

PAI’s investment was underpinned by its conviction in Innovista’s strong market positioning and exposure to resilient, mission-critical applications. The company benefited from leading positions in high-value niche segments, a diversified product portfolio and strong barriers to entry, providing a solid platform for transformation and long-term growth.

Transforming Innovista

Under PAI’s ownership, Innovista underwent a focused transformation, combining operational improvements with disciplined cost optimisation. Following the carve-out, PAI supported the establishment of a standalone organisational structure, including a simplified operating model and enhanced reporting systems.

Leveraging its industrial expertise, PAI worked closely with management to optimise the manufacturing footprint, implement continuous improvement initiatives and strengthen procurement practices. In parallel, a targeted programme was deployed to align central functions with the evolving scope of the business.

PAI also carved out selected parts of the business for sale to strategic players. This series of strategic disposals unlocked significant value through portfolio optimisation and multiple arbitrage, enabling early value crystallisation and reducing investment risk.