NEW YORK – Arsenal Capital Partners, a leading New York-based private equity firm that invests in middle-market specialty industrial, healthcare, and financial services companies, announced that it has entered into an agreement to acquire the global colorants business from Evonik Industries.
Evonik’s colorants business develops, produces and markets the COLORTREND® brand of paints for decorative end-use applications in the architecture sector. Its CHROMA-CHEM® products are used for industrial applications including maintenance and marine and timber coatings. The colorants are also formulated for ecological sustainability. In 2011 Evonik's colorants business generated sales of around EUR 130 million, with roughly half of this amount coming from the United States. In addition to a facility in Lockland, OH, there are production plants in Maastricht (the Netherlands), Dandenong (Australia) and Brampton (Canada) operating with over 300 employees.
“Evonik’s colorants business maintains a strong industry reputation by providing its customers with the highest level of performance and quality that are environmentally superior in their makeup. This is a solid business that we understand and believe it will perform well as an independent company benefiting from Arsenal’s resources and expertise. We look forward to supporting and building the business organically and with strategic acquisitions that will further expand its network,” said John Televantos, a Partner at Arsenal and Co-Head of the firm’s Specialty Industrials Group.
The transaction is expected to be closed in April 2012, subject to the approval of Evonik's Supervisory Board and regulatory approvals.