United Initiators acquires Syrgis Performance Initiators
United Initiators has acquired Syrgis Performance Initiators (SPI) from Syrgis Performance Products, which is owned by Edgewater Capital Partners.
SPI is a manufacturer of customer tailored formulations of ketone peroxides in North America and Europe and benzoyl peroxides in North America. Both products are organic peroxide initiators used in the production of thermoset composite materials.
Headquartered in the US, SPI has a global reach with manufacturing locations in the US and Sweden in addition to trading operations in Shanghai. In 2011, SPI had total net sales of approximately USD50m.
Acquiring SPI will enable United Initiators to expand its product range and geographic reach. The acquisition will provide United Initiators with improved access to the organic peroxides markets across the Americas, Europe and Asia-Pacific in addition to a strong global persulfates position. The combined turnover of United Initiators and SPI is expected to exceed EUR200m.
Madison Capital Funding served as the administrative agent and sole lender for the financing of the transaction. Grace Matthews advised Syrgis Performance Products and Edgewater Capital Partners on the sale of SPI.
Ed Hoozemans, United Initiators’ chief executive, says: “We are delighted to announce our acquisition of SPI, whose market leading organic peroxide products will complement our existing initiators business. SPI is a highly regarded supplier of peroxides to the thermoset composite market segment and we see significant opportunity to build upon its established customer relationships and operational capabilities in the Americas, Europe and Asia-Pacific.”
United Initiators is owned by Vision Capital and Speyside Equity
Dave Lamb (pictured), head of private equity - Europe at Vision Capital, says: “At the time of our investment into United Initiators we identified with Speyside Equity the compelling opportunity for consolidation across the organic peroxides market, to capitalise on the international growth opportunities for these highly-specialised products. We believe that the integration of United Initiators and SPI’s complementary product ranges, established customer bases and manufacturing and distribution networks will create value and enable the company to access significant growth potential in previously under-exploited markets.”
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