Arsenal Capital Partners, a New York-based private equity firm that invests in middle-market specialty industrial, healthcare and financial services companies, has entered into an agreement to acquire the global colorants business from Evonik Industries.
Evonik’s colorants business develops, produces and markets the Colortrend brand of paints for decorative end-use applications in the architecture sector. Its Chroma-chem products are used for industrial applications including maintenance and marine and timber coatings. The colorants are also formulated for ecological sustainability.
In 2011 Evonik’s colorants business generated sales of around €130 million, with roughly half of this amount coming from the United States. In addition to a facility in Lockland, Ohio, U.S., there are production plants in Maastricht, the Netherlands; Dandenong, Australia; and Brampton, Canada, operating with over 300 employees.
The transaction is expected to be closed in April 2012, subject to the approval of Evonik’s supervisory board and regulatory approvals.