Sterling Group sold its mostly plastic tub and shower business, which is called American Bath Group, to Lone Star Funds in a deal the two private equity firms closed on Sept. 30 for $750 million, according to PE Hub.
Based in Savannah, Tenn., American Bath designs and manufacturers fiberglass reinforced plastic, sheet molded compounds and acrylic bathtubs and showers for brands, such as Aquatic, which is focused on the luxury market; Bathcraft, which uses composite sheets for tub and shower stalls; Clarion, which has a full line of fiberglass products with acrylic finishes; and Praxis, which specializes in products for assisted-living facilities.
The buyer, Lone Star Funds, is a Dallas-based private equity firm that was founded by billionaire John Grayken in 1995. The firm's website says it seeks investment opportunities in developed markets that have suffered economic setbacks, particularly if it can gain a favorable position through its network of global business relationships.
Sterling Group, which was founded in 1982 and is based in Houston, targets manufacturing, distribution and industrial services companies.