Accella Performance Materials, a manufacturer of polyurethanes and recycled rubber products, has agreed to purchase certain assets of the North American spray polyurethane foam (SPF) business of Covestro.
The assets being acquired are located in Covestro’s facility located north of Houston in Spring, TX. This facility includes both commercial and production operations and has approximately 40 employees who will continue in their current positions.
Covestro was formed in 2015 when Bayer spun out its materials science division as an independent company. Today, Covestro is a producer of polymers and high-performance plastics and its products range from raw materials for polyurethanes to high-performance polycarbonates and precursors for paints, coatings, adhesives and sealants. The company is headquartered in Leverkusen, Germany (www.covestro.com/en).
Accella, acquired by Arsenal in 2012, is a manufacturer of custom formulated polyurethane systems and recycled rubber products. The polyurethane business is focused on formulations for spray, pour and cast applications involving foams, coatings, adhesives, sealants, and elastomers. The recycled rubber products business manufactures recycled tire crumb, equine matting, athletic flooring, and playground surfacing. The company has eight production facilities across the United States, one in Europe and one in China and is headquartered in the St. Louis suburb of Maryland Heights (www.accellacorp.com).
“This combination further strengthens Accella’s position as the leading independent polyurethane systems house in North America, and will enhance the value Accella brings to market with expanded technology, leading brands and great people. We are committed to support the ongoing growth of Accella and invest in strategies that will further transform the business,” said John Televantos, a Partner at Arsenal Capital.
Arsenal Capital Partners invests in middle-market specialty industrial and healthcare companies that have $100 million to $500 million in enterprise value. Industries of specific interest include specialty industrials and healthcare companies. Arsenal has $1.7 billion of committed capital under management. The firm was founded in 2000 and has offices in New York and Shanghai (www.arsenalcapital.com).
“This acquisition will significantly improve Accella’s position in the spray polyurethane foam market and is another strategic step with our positive track record combining the best polyurethane based companies in the industry. The addition of a well-rounded product technology portfolio and a team of highly regarded industry experts will highly complement our current spray polyurethane foam business,” said Andy Harris, president and CEO of Accella.
© 2017 Private Equity Professional | February 22, 2017
