Grace Matthews Advises Owensboro Specialty Polymers on its Sale to Borchers, a Portfolio Company of The Jordan Company
MILWAUKEE (November 6, 2017) – Grace Matthews, Inc. and Owensboro Specialty Polymers, Inc. (“OSP” or the “Company”) announced today the acquisition of OSP by Borchers Americas, Inc. (“Borchers”), a leading manufacturer of additives for the coatings, paints, and printing inks markets and a portfolio company of The Jordan Company, L.P. ("Jordan"). Owensboro Specialty Polymers was 100% owned by an Employee Stock Ownership Program (“ESOP”). The transaction was effective as of October 31, 2017.
Based in Owensboro, Kentucky, OSP is the North America market leader in polyvinylidene chloride (PVdC) latex emulsions, a specialty polymer barrier coating used in the flexible packaging, metal coatings, and oil & gas markets. OSP complements its PVdC products with polyvinyl acetate (PVAc) emulsions and other specialty products. Since its establishment, the Owensboro facility has been owned by an array of multinationals, including Dow Chemical and W.R. Grace, and has manufactured a diverse and expansive portfolio of chemistries.
OSP, with a strong leadership position in its markets and applications, received significant interest during the sale process. Ben Scharff, Managing Director at Grace Matthews, commented, “The OSP management team handled the sale process extremely well, were presented with multiple options for the future of the company, and chose an excellent partner for the business going forward in Borchers.” Jon Glapa, Senior Associate at Grace Matthews, added, “This transaction is an excellent outcome for the shareholders of OSP, and the addition of OSP to the Borchers platform provides an immediate expansion in scale, product portfolio, and market presence.”
Eric Squire, who served as President of OSP, added, “Borchers’ acquisition offers strategic growth opportunities for both companies. OSP’s commanding position in North American PVdC barrier coatings enhances Borchers’ portfolio, and the OSP facility provides a considerable increase in North American manufacturing capacity. Everyone at OSP is very excited with this acquisition and its growth possibilities.”
“This strategic acquisition supports our growth objectives in core markets while providing growth opportunities in adjacent end markets, including paper coatings, flexible packaging, and the oil & gas industry” said Devlin Riley, Borchers’ President & CEO. “Additionally, the Company’s manufacturing capabilities provide opportunities for Borchers to enhance its manufacturing footprint within the Coatings Additives business and to further promote best-in-class service and products to our global customer base.”
Grace Matthews, Inc. served as the exclusive financial advisor to OSP, and Benesch, Friedlander, Coplan & Aronoff LLP acted as its legal advisors on the transaction. Mayer Brown LLP served as legal advisor for Borchers.
Borchers Americas, Inc. is an innovator, manufacturer, and marketer of a variety of additives for the paints and coatings industry. The Company’s additives include novel dispersants (Borchi® Gen), unique rheology modifiers (Borchi® Gel), specialized air release and flow and leveling modifiers (Borchi® Gol), and the widest range of driers in the world. Borchers is committed to bringing new technologies to the coatings industry in order to meet increasingly more stringent regulations and specific customer needs. Borchers offers a “one stop shop” for unique additive solutions for coatings and formulating needs. For additional information, please visit www.Borchers.com.
About Grace Matthews, Inc.
Grace Matthews, Inc., a Milwaukee-based investment bank, provides merger, acquisition and corporate finance advisory services to private and public companies across the chemical and materials value chain. Grace Matthews is known globally for completing successful chemical industry transactions dating back to the early 1990s. Grace Matthews’ principals have completed over 150 transactions involving global corporations such as AkzoNobel, 3M, DuPont, Sherwin-Williams, PPG Industries, Ashland, ICI, Air Products, Landec Corporation, The Home Depot, Hexion Specialty Chemicals, Becker Industrial Coatings, RPM International, Weatherford, BASF, Lubrizol, WR Grace, Axalta, Eastman, and Hempel. For more detailed information on Grace Matthews, Inc., visit www.gracematthews.com.
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