Graham Partners has sold Chelsea Building Products to Aluplast GmbH. The sale of Chelsea marks the fourth exit in six months for Graham Partners.
Chelsea Building Products is a designer and manufacturer of extruded profiles used in PVC windows and doors, cellular PVC molding, composite cellular PVC cladding, and other specialty building products. The company serves the repair and remodel, as well as the new construction segments of the building products industry. Chelsea’s full service 
offering – from profile design, to prototype, PVC formulations, to full production – provides customers a one-stop-shop for customized products. The company is based in the Pittsburgh suburb of Oakmont (www.chelseabuildingproducts.com).
Graham Partners acquired Chelsea Building Products in July 2011. During the term of its ownership EBITDA grew by 171% as the result of several initiatives: revitalized Chelsea’s customer account acquisition strategy, resulting in 29 new customer relationships; implemented Kaizen lean manufacturing programs, driving an increase of over 20% in manufacturing efficiency since 2013; and completed two strategic acquisitions, which increased capacity in core product lines and provided Chelsea with the flexibility to expand its high-growth Everlast Composite siding offering.
“We saw an opportunity to tap into Graham’s deep network of building products industry experts as a result of our longstanding history and experience in the industry. These contacts enabled us to develop and execute on a clear strategic plan for the future of the business,” said Rob Newbold, Managing Principal at Graham Partners.
Graham Partners acquires companies with EBITDA between $5 million and $50 million and will invest in smaller companies as add-on acquisitions to existing portfolio companies. The firm is sponsored by the Graham Group, an industrial and investment concern with interests in plastics, packaging, machinery, building products and outsourced manufacturing. Graham Partners was founded in 1988 and is headquartered in Philadelphia (www.grahampartners.net).
“We greatly value the industry knowledge and operational support that Graham provided during their ownership, and we are excited for what the future holds for Chelsea under Aluplast ownership,” said Peter Dewil, CEO of Chelsea.
Aluplast is a family-owned international manufacturer of vinyl window and patio door lineal systems with production and sales operations in more than 30 countries. The buy of Chelsea will serve to accelerate growth and expand Aluplast’s market position in North America. Aluplast was founded in 1982 and is headquartered in Karlsruhe, Germany (www.aluplast.net).
Brown Gibbons Lang’s (www.bglco.com) Industrials and Building Products team was the financial advisor to Chelsea Building Products. “BGL’s strong building products and window and door expertise, combined with its significant global reach, was instrumental in identifying a strong global strategic partner for Chelsea, our customers, and our employees,” said Mr. Dewil.
© 2017 Private Equity Professional | March 24, 2017
