Carolina Color, a portfolio company of Arsenal Capital Partners since October 2017, has acquired Chroma Corporation.
Chroma is a manufacturer of custom formulated masterbatch colors, dry colors, additive concentrates, and pre-color compounds. The company’s products are used in a range of applications in the packaging, electronic, safety, automotive, recreational, medical, and consumer products industries. Chroma is headquartered outside of Chicago in McHenry, IL (www.chromacolors.com).
Carolina Color is a supplier of color concentrates and additives for the plastics market. The company was formed through the combination of two businesses – Carolina Color and Breen Color Concentrates – which were acquired by Arsenal in October 2017. Company-owned brands include Breen, Hudson, and Carolina Color. The company, founded in 1967, is headquartered near Charlotte in Salisbury, NC (www.carolinacolor.com) (www.breencolor.com).
“We are pleased to see Chroma, with its solid reputation in the Midwest, join our incredibly strong color businesses – Carolina Color, Breen, and Hudson – which were combined last year into Carolina Color,” said George Abd, Chairman of the Board of Carolina Color. “By combining these businesses that bring great product technology and reputations in the industry, we continue to execute our strategy of building the finest colorant company serving our markets.”
With the acquisition of Chroma closed, Tom Bolger, the CEO of Chroma has been named as the new CEO of Carolina Color. Mr. Bolger has more than 30 years of experience in the color and additive concentrate business beginning with Chroma in the 1980’s and including positions with Wilson Color, M.A. Hanna, Polyone and returning to Chroma where he has been the CEO since 2005 and owner since 2016.
With the acquisition of Chroma, Carolina Color now has annual revenues of greater than $150 million. “The combination of Carolina Color, Breen, Hudson and Chroma creates a unique and rapidly growing player in the market and I look forward to working with the exceptional team at the company to become an even better partner to all of our customers and to explore and pursue further growth opportunities. I am very excited about the opportunity to lead this great organization,” said Mr. Bolger.
Arsenal invests in middle-market specialty industrial and healthcare companies that have from $100 million to $500 million in enterprise value. Industries of specific interest include specialty industrials and healthcare companies. The firm was founded in 2000 and has offices in New York and Shanghai (www.arsenalcapital.com).
© 2018 Private Equity Professional | July 18, 2018
