Charter Oak Equity and Peninsula Capital Partners have acquired a controlling interest in Seaboard Folding Box Company.
Seaboard Folding Box is a maker of primary and secondary paperboard boxes for the specialty food, pharmacy and hardware markets. The company is based northwest of Boston in Fitchburg, MA (www.seaboardfoldingbox.com).
“We are very excited to add Seaboard to the Charter Oak Equity portfolio of companies,” said Paul Roughan, Managing Partner of Charter Oak. “Seaboard has a solid track record of steady growth with strong margins and has developed an outstanding reputation among its customers. The company is an excellent platform for new acquisitions. We are immediately initiating a search for add-ons that can broaden Seaboard’s geographic presence and bring in new customers.”
Charter Oak Equity invests in niche manufacturing, packaging, medical products & services, specialty chemicals, consumer products and financial services companies ranging in size from start up to $200 million of enterprise value. Since founding in 1992, the firm has invested over $500 million in 30 portfolio companies and completed more than 50 acquisitions. Charter Oak is based in Westport, CT (www.charteroak-equity.com).
Allen Rabinow, the third generation owner and CEO of Seaboard Folding Box, will continue to manage the company and maintain a significant ownership position. “We are thrilled to partner with Charter Oak and Peninsula,” said Mr. Rabinow. “Their additional capital along with their financial and operating experience will help us continue to expand the business through investment and strategic acquisitions.
“The combination of Mr. Rabinow’s executive talent, the company’s impressive financial performance and Charter Oak’s operational capabilities made this an attractive opportunity for Peninsula. We believe the company will benefit greatly from the additional capital and operational resources Peninsula Capital and Charter Oak collectively offer, and we look forward to supporting the future growth of Seaboard in both capacities over the coming years” said James Illikman, Partner at Peninsula Capital.
Peninsula Capital Partners provides from $5 million to $40 million in subordinated debt and equity capital to companies with $10 million to $100 million in revenue. Peninsula invests across a range of industries but has specific interest in aerospace, manufacturing, information technology, industrial and professional services, consumer products, retail, food and distribution. Since 1995, Peninsula has raised and managed approximately $1.2 billion of capital through five committed funds and is currently investing its fifth fund with total capital commitments of approximately $390 million. The firm was founded in 1995 and is based in Detroit (www.peninsulafunds.com).
Charter Oak, Peninsula Capital Partners and Mr. Rabinow provided the equity for the transaction. Peninsula also provided the mezzanine debt. Fifth Third Bank provided the senior debt.
2014 PEPD • Private Equity’s Leading News Magazine • 8-13-14
