Sentinel recapitalizes Critical Solutions International in partnership with management


Third Sentinel Investment in Defense Sector


NEW YORK, February 1, 2011 - Sentinel Capital Partners, a private equity firm that invests in promising lower middle market companies, today announced the recapitalization of Critical Solutions International ("CSI"), the leading global supplier of land mine and improvised explosive device detection vehicles, systems and support services to U.S. and foreign military forces. Sentinel partnered in the transaction with CSI's founders, Tennessee Valley Ventures, and senior management. Terms of the transaction were not disclosed.

Since 1999, CSI has been a consistent and important resource to the U.S. Army, U.S. Marines, and the Canadian Armed Forces for testing, developing and supplying landmine detection vehicles and systems. CSI's primary product, the Vehicle Mounted Mine Detection ("VMMD") system, nicknamed the Husky, is a unique, life-saving, combat-proven vehicle that is blast-survivable, field-reparable, four-wheel steerable, and highly effective at detecting all forms of land-based explosive devices. Today there are more than 300 VMMD systems actively deployed, and the Husky is a Program of Record with a DX Rating—the highest possible rating granted by the U.S. armed forces.

"CSI's co-founders and management team bring a dynamic combination of technological innovation and military expertise to the table," said Paul Murphy, a partner at Sentinel. "We look forward to working alongside the management team to help them bolster CSI's infrastructure to enter its next phase of growth."

"With a strong background in defense and a solid track record of helping companies build value, Sentinel is the ideal partner for CSI," said co-founders Ed Fearon and Shon Craig, who will continue in their current roles and remain involved as significant shareholders and board members. "While CSI has achieved considerable success in the past, the strategic and financial support Sentinel brings will put us in an even stronger position to provide quality products to our valued customers."

"CSI's life-saving products and leading market position, coupled with a highly visible future revenue stream make it an attractive investment opportunity for Sentinel," said Graham Schena, a vice president at Sentinel.

Sentinel's investments in other defense sector businesses include North American Rescue, the leading developer and distributor of tactical emergency medical equipment to the U.S. military, law enforcement and other organizations that employ trauma care professionals; and ReachOut Healthcare America, Ltd. the nation's leading provider of administrative support services to affiliated dentists in the mobile dental industry, serving military personnel, underprivileged children, and seniors.