Milacron Holdings Corp. is selling its Uniloy blow molding business to private equity firms Osgood Capital Group LLC and Cyprium Investment Partners LLC.
Milacron announced the news May 14, just two weeks after the machinery manufacturer disclosed in its first quarter financial report that it was exiting the Uniloy business and putting it up for sale.
Milacron bought Uniloy in 1998 from Johnson Controls Inc. Milacron is holding onto the structural foam machinery business that it bought from JCI at the same time.
Terms of the deal were not immediately released. Milacron, which is traded on the New York Stock Exchange, said the transaction is expected to close within 90 days.
"The sale of the Uniloy blow molding business is being transacted in the best interests of Milacron, its stockholders and its customers," Milacron CEO Tom Goeke said in a news release. "Uniloy has operated as a Milacron product brand since 1998, and we are confident it will continue to thrive under its new ownership in the years ahead."
Goeke said the sale "is consistent with our decision to concentrate on our core industry-leading technologies, including Milacron injection molding machines, Milacron extrusion equipment, Mold-Masters hot runner and control systems, DME mold components and our CIMCOOL fluid technologies."
Uniloy is based in Tecumseh, Mich.
Brian Marston, currently president of blow molding and extrusion at Milacron, will lead the new Uniloy organization as president and CEO. He has held leadership positions within the plastics and blow molding industry for 35 years, Milacron said.
Osgood Capital President Joseph S. Levy is a former executive at Berry Plastics Holding Corp., affiliated with the packaging giant Berry Global Group Inc. Levy also served as managing director of private equity firm First Atlantic Capital Ltd.
In the news release announcing the Uniloy deal, Levy said: "We are excited to have this opportunity to work with the outstanding Uniloy management team led by Brian. We expect to deliver world class service and solutions for all our customers' blow molding needs as well as strong growth in global Uniloy brands for years to come."
Marston said Uniloy will "continue to provide the same high-performance machinery, technical expertise and aftermarket support that our customers have experience since the 1960s."
Marston said the new owners will work with Milacron to make the transaction seamless.
Cleveland-based Cyprium Investment Partners' past plastics-related investments include MGS Manufacturing Group Inc. Cyprium invested in the Germantown, Wis.-based MGS in 2012, through a subordinated debt investment.
MGS has been owned by Mason Wells, a Milwaukee private equity firm, since mid-2016.