Fusion Inc. Has Been Acquired by Rotating Machinery Services, a Portfolio Company of Arcline
08.05.2025
HOUSTON, TEXAS (May 8, 2025) – Statesman Corporate Finance, LLC (“Statesman”) is pleased to announce the sale of Fusion Operations, LLC, doing business as Fusion Inc. (“Fusion” and/or the “Company”), to Rotating Machinery Services, Inc. (“RMS”), a portfolio company of Arcline Investment Management (“Arcline”). Statesman served as the exclusive financial advisor to Fusion on this transaction, which closed on May 1, 2025.
Founded in 1959 and based in Houston, Texas, Fusion is an industrial engineering company specializing in the machining, coating, grinding, and finishing of rotating and reciprocating components used in diverse variety of end markets. The Company was owned by Stratton Gillis and Al Wade. Fusion’s strong competency in precision grinding, thermal spray coatings, tight-tolerance grinding, computer numerical control and manual machining, laser cladding, and wear-resistant coatings will enhance RMS’s vertically integrated manufacturing strategy to manage quality, cost, and to shorten lead times for turbomachinery overhaul applications.
“Fusion brings a combination of grinding precision, laser cladding, and advanced thermal spray coating technology,” said John Bartos, CEO of RMS. “These are core to extending the life of critical components in turbomachinery, and by bringing them in-house, we’re strengthening RMS’s ability to deliver service with speed, consistency, and technical excellence.”
“We’ve always taken pride in solving complex grinding and surface wear challenges,” said Stratton Gillis, majority owner of Fusion. “Joining RMS allows us to apply those capabilities more broadly, especially in support of the turbomachinery space. We are thrilled to be part of an organization that values precision and technical integrity as much as we do.”
Statesman managed the sales process for Fusion, identifying several prospective partner candidates before Fusion ownership determined RMS was the ideal fit. “Thanks Statesman team for an outstanding job of helping us throughout the entire process. We could not have done it on our own and deeply appreciate the expert guidance and hard work to help make a deal happen. Job well done!”, Stratton Gillis, Fusion, CEO
Fusion will manage operations from its Houston, Texas facility under RMS’s broader U.S.-based repair network. The Company will continue to support rotating equipment customers with component restoration, manufacturing, and surface treatment services.
About the other transaction participants
Statesman Corporate Finance, LLC (Houston & Austin, TX) is the FINRA-licensed broker-dealer affiliate of Statesman Business Advisors, LLC. With offices in Houston and Austin, Texas, Statesman is a leading middle-market investment banking firm providing merger and acquisition, capital formation, valuation, and other general corporate financial advisory services to middle-market companies. The Statesman team advising on this engagement included Will Jaco, Managing Member, Sid Shaver, Senior Advisor, Peter Chiu, Director, and Marvin Hernandez, Analyst.
Arcline Investment Management (Nashville, TN) is a private equity firm founded in 2018. The firm focuses on investing in technology-driven, industrial businesses across sectors such as aerospace and defense, life sciences, energy transition, industrial technology, and specialty materials. With $10 billion in cumulative capital commitments, Arcline aims to build meaningful businesses that enable a better future.
Rotating Machinery Services (Bethlehem, PA) founded in 1998, is a leading provider of aftermarket engineering, repair, and maintenance services for complex turbomachinery. The company serves the energy, petrochemical, and industrial manufacturing sectors, supporting equipment such as compressors, steam turbines, and expanders. With multiple facilities across the U.S., RMS offers field services, engineering analysis, and parts supply. In 2025, it was acquired by Arcline Investment Management to support continued growth and expansion.
Weycer, Kaplan, Pulaski & Zuber, P.C. (Houston, TX) provided legal counsel to Fusion, led by Shareholder Robert C. Beasley.
Fredrikson & Byron P.A. (Minneapolis, MN) provided legal counsel to RMS and Arcline, led by Officer Soobin Kim.
