Using financing from two Dallas-based equity firms, Falcon Investment Advisors LLC said Nov. 17 it has completed a recapitalization of Mills-based W.L. Plastics Corp. - a maker of large-diameter high density polyethylene pipe.
Sequel Holdings LP and Crow Kaminski Capital Partners LP backed the investment.
Eugene, Ore.-based PW Eagle Inc. had wanted to sell its 23 percent ownership stake in W.L. since August.
PW, a maker of PVC and HDPE pipe, tubing and fittings, had been distancing itself from W.L. since its subsidiary, USPoly Co., bought the assets of Uponor Aldyl Co., which made USPoly a direct competitor of W.L.
PW is anticipating an after-tax net gain on the sale of about $13 million. USPoly, an extruder of PE pipe and tubing products, will use those funds to pay down debt, company officials said.
In addition to Mills, W.L. also operates plants in Gillette, Wyo., and Cedar City, Utah.
Mike Dahl, W.L. director, said in a news release that the new financial partners will help W.L. grow further.
``We completed an extensive process to identify new partners that understand our business and would support out growth plan going forward,'' Dahl said.