Wellspring Capital Management has acquired Rohrer Corporation, a designer and manufacturer of retail-packaging products, from ShoreView Industries.
Rohrer is a manufacturer of high-visibility, paperboard and thermoformed plastic consumer packaging including graphically intensive blister, skin, folding carton, high volume board packaging, and clamshell packaging.
Rohrer’s customers are active in a range of end markets, including hardware, office supplies, batteries, consumer electronics, automotive aftermarket, consumer products and personal care. Rohrer was founded in 1973 and is headquartered near Akron in Wadsworth, Ohio and has seven additional manufacturing facilities in Georgia, Arizona, Illinois (3), and Mexico (2).
ShoreView acquired Rohrer in December 2009 in partnership with the founding Rohrer family to consolidate the fragmented high-visibility packaging sector. During its ownership term the company completed four add-on acquisitions, made significant investments in production equipment, and hired new senior leadership under a planned transition of family executives from day-to-day management to board roles. Since 2009, company revenues have grown from $67 million to over $200 million.
With the closing of this transaction, Rohrer’s senior management team, led by CEO Steve Wirrig, will continue to lead the business.
“Rohrer has found an excellent fit with Wellspring,” said Mr. Wirrig. “We believe Wellspring shares our vision of delivering innovative consumer packaging solutions. This partnership supports the continued growth of our business so we can provide industry-leading packaging solutions for our customers.”
“We are thrilled to begin our partnership with Rohrer,” said Matthew Harrison, a managing partner at Wellspring. “Rohrer represents a highly compelling investment opportunity in the consumer packaging space led by an exceptional management team. The transaction is an attractive extension of Wellspring’s packaging sector investment strategy.”
In 2019, Wellspring acquired Paragon Films, an Oklahoma-based maker of stretch films used in storage and transit applications; and in 2018 it acquired SupplyOne, a Pennsylvania-based manufacturer of corrugated products, plastic thermoforming trays and clamshells, and pressure-sensitive labels.
“We believe Rohrer is a unique business in the consumer packaging space given its scale and proficiency in manufacturing both paper and plastic substrates,” said John Morningstar, a managing partner at Wellspring. “The company is well-positioned to grow organically, and we believe it can become the consolidator of choice in the industry given its prior experience executing and integrating sizeable acquisitions.”
New York City-based Wellspring was founded in 1995 and has raised more than $4 billion of capital through six private equity funds. Its latest fund, Wellspring Capital Partners VI LP, closed at its hard cap of $1.4 billion in January 2018.
Minneapolis-headquartered ShoreView, the seller of Rohrer, makes control and minority investments in US-based middle-market companies that have revenues from $20 million to $300 million and operating profits from $5 million to $40 million. Sectors of interest include engineered products, distribution, industrial services, business services, healthcare, and niche consumer products.
© 2021 Private Equity Professional | March 23, 2021