Archives for May 23, 2012

ICV Partners Acquires Pharmline

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ICV Partners announced today that its portfolio company, Stauber Performance Ingredients, a manufacturer and distributor of nutritional ingredients and blends, has acquired Pharmline. “This is an important strategic step for Stauber and we are very pleased with the company’s first phase of growth over the past year. This acquisition represents the next step in building a market leading company with a national presence. Pharmline adds a range of synergistic customized services and specialized products that combined with Stauber will benefit our customers in many ways,” said Ira Moreland, a Managing Director of ICV.

Pharmline is a value-added distributor and manufacturer of nutritional ingredients with specialized processing capabilities such as mixing, drying, granulation, and micronization. It also sells and distributes
minerals, vitamins and amino acids. Pharmline also operates an in-house lab and R&D facilities where it provides testing and formulation services on behalf of its clients. The company was founded in 1986 and is based in Florida, NY (www.pharmlineinc.com).

“Pharmline is a highly respected brand that is well recognized in the nutritional industry and its value added processing capabilities, as well as their sales and technical expertise, provide a strong platform for us to pursue new market opportunities on a national scale,” said Dan Stauber, CEO of Stauber.

Stauber provides ingredients to the food, pharmaceutical, cosmetic and health food supplement industries. Products include amino acids; bioflavonoids; excipients; vitamins; botanicals; fruits and vegetables; minerals; and other specialty products. The company was founded in 1969 and is headquartered in Fullerton, CA (www.stauberusa.com).

ICV Partners invests in family-owned and closely-held businesses as well as corporate divestitures with revenues from $25 million to $250 million and EBITDAs from $5 million to $30 million. The firm has $440 million in capital under management and has offices in New York, NY and Atlanta, GA (www.icvcapital.com).

Catterton Partners Exits MonoSol

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Catterton Partners today announced that it has entered into an agreement to sell MonoSol, a manufacturer of water-soluble films used in consumer applications, including automatic dishwasher and laundry detergent unit-dose soluble delivery systems, to Kuraray Co. “Catterton has been a tremendous partner for us,” said MonoSol CEO P. Scott Bening. “In addition to providing consumer insight on our end markets, Catterton helped guide us through substantial investments in capital expansion, product innovation, and marketing activities to underpin our growth.”

MonoSol offers a range of water-soluble delivery systems for unit-dose applications for consumer, agricultural chemicals and industrial products, release films, transfer printing, embroidery support films, water-soluble laundry bags, edible films and TerraLOC, a dust abatement system. The company was founded in 1953 and is based in Merrillville, IN with manufacturing facilities in Portage, IN; La Porte, IN; and Hartlebury, UK (www.monosol.com) (www.terraloc.com).

Since investing in MonoSol in 2007, Catterton Partners has worked with the MonoSol management team to develop and enhance its technology in water-soluble films, a development that has driven consumer adoption of unit-dose (single serve) delivery in multiple applications. Most notably, MonoSol’s environmentally sustainable MonoDose delivery systems has been an innovation in the automatic dishwasher and laundry detergent markets where consumers have embraced the convenience of such brands as Cascade ActionPacs and Tide Pods.

“We are proud of the significant growth and success we were able to achieve working with the management team at MonoSol. MonoSol’s leading technologies, strong customer relationships and track record of innovation have allowed the company to enjoy tremendous success,” said Scott Dahnke, Managing Partner at Catterton Partners. “This transaction represents a terrific outcome for MonoSol, Kuraray and Catterton, and we are confident that MonoSol will continue to thrive under new ownership. Moreover, we continue to pursue opportunities to invest in leading companies which offer proprietary ingredients and vital technologies to the consumer industry, such as MonoSol.”

Morgan Stanley & Co. acted as financial advisor to MonoSol in connection with the transaction.

Founded in 1989, Catterton Partners focuses exclusively on the consumer industry. The firm invests in all major consumer segments, including Food and Beverage, Retail and Restaurants, Consumer Products and Services, and Media and Marketing Services. The firm has more than $2.5 billion in capital under management and is located in Greenwich, CT (www.cpequity.com).

Vista Equity Partners Acquires Silverchair Learning Systems

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It was announced today that Vista Equity Partners has acquired Silverchair Learning Systems, a provider of online learning and communication services to the senior care industry.

Silverchair Learning Systems (SLS) is an accredited online education and communication systems provider that works with senior care providers who want to improve training and communications (both internal and external) in their organizations. SLS products include a user-friendly online training solution that improves compliance; an employee feedback system that delivers surveys, analyzes results and provides remediation tools; and an online communication and education system for resident families. SLS is based in Charlottesville, VA (www.silverchairlearning.com).

Vista Equity Partners has more than $6.6 billion in committed capital and makes equity investments in enterprise software businesses and technology-enabled solutions companies. The firm was founded in 2000 and has over 50 investment professionals operating out of Austin TX, Chicago IL and San Francisco CA (www.vistaequitypartners.com).

Harris Williams & Co. acted as the exclusive advisor to Silverchair Learning Systems. The transaction was led by Sam Hendler from the firm’s Technology, Media & Telecom Group and Cheairs Porter from the firm’s Healthcare & Life Sciences Group.

“Attracting capital from an investor of Vista’s caliber is a testament to what the SLS team has achieved and the ongoing opportunity for differentiated SaaS businesses serving the healthcare market,” said Mr. Hendler.

Comvest Group Invests in Primo Water

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The Comvest Group, through its debt fund, Comvest Capital II L.P., has provided a $15.1 million term loan to Primo Water Corporation, a national provider of water dispensers, bulk bottled water and sparkling beverage appliances. “These new financing arrangements provide Primo with flexibility to execute our growth plans across our product lines,” said Primo CFO Mark Castaneda. “Comvest has been a responsive and flexible partner and we are appreciative of their efforts to meet our capital needs.”

Primo Water Corporation (NASDAQ: PRMW) is a provider of three- and five-gallon purified bottled water, self-serve filtered drinking water, water dispensers and carbonating beverage appliances sold through major retailers in the United States and Canada. Primo was founded in 2004 and is headquartered in Winston-Salem, NC (
). “The management team at Primo has a great track record in founding and growing Blue Rhino Corporation,” said Managing Director Greg Reynolds of Comvest Capital. “We believe this experience ideally positions Primo for continued growth as it becomes the leading provider of water solutions to retailers.”

The Comvest Group provides debt and equity to middle-market companies. For debt investments the firm will invest from $2 million to $20 million per transaction in companies with $10 million to $200 million of revenue that have positive or negative EBITDA. For equity investments the firm will invest from $10 million to $50 million per transaction in companies with $15 million to $500 million of revenue that have positive or negative EBITDA. Since 2000 Comvest has invested more than $1.5 billion of capital in over 105 public and private companies worldwide. The firm is based in West Palm Beach, FL (www.comvest.com).

Bryan Armstrong Joins Excellere Partners

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Excellere Partners has hired Bryan Armstrong as a new associate. Mr. Armstrong will focus on the sourcing, structuring, due diligence and documentation of new platform companies as Excellere invests its recently closed $465 million second fund. In addition, he will provide day-to-day support to colleagues as well as management members of Excellere’s current portfolio companies.

“As we continue to emphasize our focus on entrepreneurs and deploy our investments in entrepreneurial-founded entities, we are expanding our team to attract talented associates like Bryan who are great people and great at what they do,” said Ryan Heckman, managing partner at Excellere. “We welcome Bryan to the firm, and look forward to the contributions he will make in his new role.”

Mr. Armstrong brings nearly a decade of private equity-related experience to his new position. For the past seven years, he was an assistant vice president at Madison Capital Funding, a Chicago-based leverage finance firm, where he was responsible for all phases of the investment process, including business development, structuring, pricing, due diligence and documentation of transactions. Prior to Madison Capital Funding he served as an analyst at LaSalle Bank in Chicago, where he performed due diligence on prospective cash flow and asset-based financing opportunities, including financial trend analysis, industry research and collateral analysis. Mr. Armstrong holds a BA degree in Business Administration (with concentrations in Accounting, Finance and International Business) from the University of Michigan.

“Joining Excellere presents me with an excellent chance to join a growing and successful team committed to meeting the business needs of entrepreneurs. The firm’s dedication to entrepreneurial-backed businesses, coupled with Excellere’s welcoming culture and experienced team of professionals, presented an extraordinary opportunity for me at this point in my career. I am both excited and honored to be joining the Excellere team,” said Mr. Armstrong.

Excellere Partners invests in middle-market companies with revenues ranging from $20 million to $150 million. Sectors of interest include healthcare; specialty foods; industrial technology and services; business services; and education and training. The firm has $730 million of capital under management and is based in Denver, CO (www.excellerepartners.com).