Cortec Group has acquired Urnex Brands, a maker of coffee machine cleaning products that are used in commercial and household applications.
Urnex manufactures a portfolio of coffee machine cleaning, descaling and sanitizing products in a variety of forms – such as liquid, tablet, or powder – which are sold under the Urnex, Puro, and Full Circle brand names. Customers include coffee chains, coffee roasters, foodservice providers, machine manufacturers, and retailers. Founded in 1936, Urnex has a manufacturing facility and headquarters located west of White Plains in Elmsford, NY (www.urnex.com).
Cortec Group believes that Urnex is the market leader in the coffee machine cleaning products industry. “The company’s success is directly attributable to the Urnex brand and its reputation for quality, efficacy and value among a broad range of commercial and household consumers”, said David Schnadig, a Managing Partner at Cortec.
Urnex is led by its President and CEO, Joshua Dick, who will continue in his current role and retain a significant ownership interest in Urnex. “We were seeking a partner who would help drive Urnex’s expansion plans and support the company in its next phase of growth,” said Mr. Dick. “Cortec’s relevant experience and track record of successfully investing in entrepreneur-led, high-growth businesses, as well as deep specialty consumer products experience was extremely important to me.”
Cortec Group invests in middle-market distribution, healthcare, consumer, and specialty products and service businesses with enterprise values from $40 million to $300 million. Cortec currently manages over $1 billion in its two active funds. The firm was founded in 1984 and is based in New York (www.cortecgroup.com).
“We are gratified that Josh chose to work with Cortec to support Urnex’s near and longer-term growth objectives,” said Mike Najjar, a Managing Partner at Cortec. “We are thrilled to be partnering with a great team and look forward to building on the company’s outstanding track record of success.”
Cortec Group made its investment in Urnex Brands through it its fifth investment fund, Cortec Group Fund V, LP. The Urnex acquisition represents the fund’s seventh platform investment.
Robert W. Baird & Co. served as the exclusive financial advisor to Urnex.
© 2015 PEPD • Private Equity’s Leading News Magazine • 4-23-15