American Greetings Corporation, the nation’s second-largest greeting card maker, has agreed to be acquired by the members of the controlling Weiss family in a transaction valued at about $878 million. Koch AG Investment, a subsidiary of Koch Industries, has committed $240 million in equity capital to support the Weiss family purchase of the company.
“We are long-term, patient investors that run an entrepreneurial private company. We view these types of transactions as mutually beneficial opportunities, and we’re pleased to help facilitate them. We wish the Weiss family the best in this endeavor. They are excellent managers and innovators,” said Steve Feilmeier, chief financial officer for Koch Industries.
Subsidiaries of Koch Industries make substantial investments in companies that are typically not majority owned and operate independently of Koch. In December, the company made a substantial investment in Guardian Industries Corporation.
Koch Industries is one of the largest private companies in America with annual revenues of about $115 billion. It owns a diverse group of companies involved in refining, chemicals and biofuels; forest and consumer products; fertilizers; polymers and fibers; process and pollution control equipment and technologies; commodity trading and services; minerals; ranching; and investments. In 2012, Koch companies employed nearly 50,000 people in the United States. The company is based in Wichita, KS (www.kochind.com).
© 2013 PEPD • Private Equity’s Leading News Magazine • 4-2-13