Private Equity Firm Adds On to Specialty Chemical Manufacturer April 05, 2012
Riverside Makes Match With Great Chemistry
The Riverside Company has acquired Cincinnati-based Galaxy Associates (Galaxy) as an add-on to another Queen City company in platform DuBois Chemicals. Both companies manufacture high-quality specialty chemicals and solutions. The companies are not merely geographically close; they share similar products and serve many of the same end markets.
Galaxy provides specialty chemicals such as metalworking fluids, process chemistries, conversion coatings, sealing rinses, and cleaners. The company has built its reputation through its Industrial, Pulp & Paper, and Transportation divisions, each of which provides products to a specific customer set. The company was founded in 2002.
“Galaxy bolsters DuBois’ industrial metal finishing business while adding complementary capabilities to DuBois’ transportation and paper segments,” said Riverside Partner Tim Gosline. “We expect customers of both firms to benefit from enhanced capabilities and a broader suite of products.”
Galaxy is the fourth add-on that Riverside has completed for DuBois since its initial investment in 2008. Prior add-ons include Blendco, Perkins Products, and Mitco.
Galaxy and DuBois operate less than five miles from each other and shares similar business segments, end-markets, product offerings, and targeted customers.
DuBois CEO Jeff Welsh is excited about the unique solutions that Galaxy and DuBois can provide to their customers.
“Galaxy is a truly great entrepreneurial company,” said Welsh. “The complementary nature of our cultures, products and end markets will allow us to deliver a breadth of solutions that exceed our customer’s expectations. It’s a really natural fit for our marketplace. Together we offer thousands of innovative specialty chemical solutions that we can deliver with creative passion and expertise.”
Working with Gosline for Riverside on this transaction were Principal Chip Walker, Senior Associate William DeLong and Associate David Wynne. The transaction was sourced by Scott Gilbertson. KeyBank, U.S. Bank, The Bank of Montreal, General Electric Capital Corporation and Tri-State Capital Bank provided financing, and Jones Day advised Riverside on the transaction.
The Galaxy acquisition is the eighth acquisition of 2012 for Riverside.
The Riverside Company
The Riverside Company is a global private equity firm focused on acquiring growing businesses valued at up to $200 million (€200 million in Europe). Since its founding in 1988, Riverside has invested in more than 280 transactions. The firm’s international portfolio includes 80 companies, and it has more than $3 billion/€2.5 billion in assets under management.