Berkshire Partners LLC, the Boston based private equity firm, and OMERS Private Equity Inc., the private equity arm of the OMERS Worldwide group of companies, have signed a definitive agreement to jointly acquire Husky International Ltd and its subsidiaries (Husky) from Onex Corporation and its affiliated funds.
Headquartered in Bolton, Ontario, Husky is a leading global supplier of injection molding equipment and services to the plastics industry. The company, led by President and Chief Executive Officer John Galt, designs and manufactures a broad range of injection molding machines, hot runners, moulds and integrated systems. Husky’s equipment is used to manufacture a wide range of plastic products such as bottles and caps for beverages, containers for food, medical devices and consumer electronic parts. The company has more than 40 service and sales offices supporting customers in over 100 countries, and manufacturing facilities in Canada, the United States, Luxembourg and China.
"I look forward to partnering with Berkshire Partners and OMERS Private Equity in continuing to build a great company that delivers outstanding customer value," says John Galt, who will continue to lead Husky as President and CEO. "Husky has a tremendous future and the management team is excited to be working with our new partners in this next chapter."
Michael Ascione (pictured), Managing Director of Berkshire Partners, says: "Husky is a compelling company with an exceptional management team. We believe Husky’s global presence and strong customer value proposition enables many strategic growth initiatives and provides significant long-term potential."
Lisa Melchior, Managing Director of OMERS Private Equity Inc, says: "Husky is a Canadian success story. It is a global market leader in an industry that is poised to benefit from the growth in emerging markets. We believe the future opportunities for this company are extremely attractive."
Berkshire Partners LLC and OMERS Private Equity Inc expect to close the transaction by the end of the third quarter of 2011. The management team of Husky is expected to be a significant investor in the business through continued equity ownership.
Financing will be provided by certain affiliates of Goldman, Sachs & Co., including its principal mezzanine fund, Morgan Stanley Senior Funding, RBC Capital Markets and TD Securities Inc. TD Securities Inc. acted as financial advisor, and Weil, Gotshal & Manges LLP and McCarthy Tétrault LLP acted as legal counsel for the buyers.