CONCORD, ON, Oct. 10, 2013 /CNW/ - KIK Custom Products Inc. ("KIK")
today announced it has entered into a stock purchase agreement to
acquire the Consumer Products business of Chemtura Corporation
(NYSE/Euronext Paris: CHMT). The business, which is headquartered in
Lawrenceville, GA, is known as BioLab in North America and Bayrol in
Europe. The purchase price is $315 million, payable in cash, subject
to customary adjustments, at closing. The acquisition is subject to
customary closing conditions and regulatory approvals and is targeted
to close on December 31, 2013.
"This acquisition will be an important step in the next-stage growth of
our company," said Jeff Nodland, CEO, KIK. "We expect it to contribute
to generating strong free cash flow while diversifying our product
portfolio and expanding our customers and channels." KIK Classic
Division President Stratis Katsiris added, "The BioLab and Bayrol
businesses have a history of innovation and excellent service in the
markets they serve. We are excited about this acquisition, which
enhances our household cleaning portfolio and furthers our ongoing
commitment to pool care." KIK entered the pool care business in 2011
with the acquisition of US-based Chem-Lab Products Inc.
KIK is a portfolio company of New York-based private equity firm CI
Capital Partners. The transaction will be financed through debt
underwritten by Credit Suisse and UBS Investment Bank and an equity
investment in KIK made by an affiliate of CI Capital Partners.
About KIK Custom Products
With over $1.2 billion in 2012 sales and more than 3,000 employees,
Toronto, Canada-based KIK is one of North America's largest contract
and private label manufacturers of consumer, institutional and
industrial products. The KIK network includes14 integrated
manufacturing facilities strategically located throughout North
America. KIK's product lines include bleach, household cleaners and
sanitizers, pool and spa water treatment products and additives,
personal care, over-the-counter medicated and pharmaceutical products,
all supported by in-house technical expertise and value-added services.
KIK produces national brand and private label consumer products for
Fortune 500 companies. For more information about KIK, visit www.kikcorp.com.
About CI Capital Partners
CI Capital Partners LLC, a North American private equity firm, has been
investing in middle-market companies since 1993. CI Capital forms
partnerships with experienced management teams and entrepreneurs to
build substantial businesses through add-on acquisitions, organic
growth and operational improvements. Since the firm's inception, CI
Capital and its portfolio companies have made more than 100
acquisitions representing over $6 billion in enterprise value. CI
Capital's existing portfolio consists of companies which collectively
generate annual revenue of close to $4 billion, EBITDA of over $350
million and employ approximately 15,000 people. To learn more about CI
Capital Partners, please visit www.cicapllc.com.
About Chemtura Corporation
Philadelphia, Pennsylvania-based Chemtura Corporation, with 2012 sales
of $2.6 billion,(1) is a global manufacturer and marketer of specialty chemicals, agro
chemicals, and pool, spa and home care products. Additional information
concerning Chemtura is available at www.chemtura.com.
1 2012 net sales of $2.6 billion reflects discontinued operations
treatment for the sale of Chemtura's Antioxidants business.
SOURCE: KIK Custom Products Inc.
For further information:
KIK Media Contacts:
United States Media
Associate Director, Margo Schneider
646.935.4170 or Margo.Schneider@ketchum.com
Canada Media - English
416.355.7431 or Tricia.Weagant@ketchum.com
Canada Media - French
Media Specialist, Daniel Despins
450.964.2240 or firstname.lastname@example.org