Publicly traded Westlake Chemical has acquired Dimex, a manufacturer of plastic extruded products, from Grey Mountain Partners.
Dimex is a manufacturer of plastic extruded consumer and building products using post-industrial recycled materials. The company’s products – made from polyethylene, rigid and flexible polyvinyl chloride or EPDM (ethylene propylene diene monomer) rubber – include landscape edging; industrial, home and office matting; marine dock edging; and masonry joint controls.
Dimex, led by CEO Andy Antil, was founded in 1991 and operates a 200,000 square foot manufacturing facility at its headquarters in Marietta, Ohio. Grey Mountain acquired Dimex in December 2013.
Westlake Chemical (NYSE: WLK) is a manufacturer of petrochemicals, plastics and building products that are used in numerous consumer and industrial markets. The Houston-headquartered company is the largest producer of low-density polyethylene (LDPE) in the United States and operates from 36 locations in North America, 11 in Europe, and 6 in Asia. Westlake was founded by petrochemical and plastics pioneer Ting Tsung Chao in 1986 and is today led, as CEO, by his son Albert Chao.
“With the acquisition of Dimex, we are significantly adding to our growing portfolio of environmentally friendlier products,” said Mr. Chao. “Westlake is continually improving how it incorporates recyclable plastic materials into products to serve our customers’ demands for innovative engineering and consumer interest in environmentally responsible goods.”
The acquisition of Dimex follows Westlake’s $252 million buy of Lasco Fittings, a Tennessee-based manufacturer of injected-molded PVC fittings, from Aalberts in August 2021; and the $2.2 billion buy of the Michigan-based building-products businesses of publicly traded Boral Industries, in June 2021.
Grey Mountain is currently investing from its $425 million third fund, which was raised in 2013, and invests up to $75 million in control acquisitions of companies with enterprise values between $30 million and $150 million. Sectors of interest are widely varied and include manufacturing; distribution; financial and professional services; food and beverage; health and wellness; and specialty chemicals. Grey Mountain was founded in 2003 by Managing Partners Rob Wright and Jeff Kuo and is based in Boulder, Colorado with additional offices in Minneapolis and Pittsburgh.
© 2021 Private Equity Professional | September 14, 2021