Specialty films maker Transcendia Holdings Inc. has a new majority owner in a deal that eliminates debt and strengthens the company's financial position, the company said.
The financial move continues private equity ownership for the Franklin Park, Ill., business and sees Industrial Opportunity Partners becoming majority owner. Goldman Sachs Asset Management is also involved in what is being called a "capital infusion and recapitalization."
Goldman Sachs, which acquired Transcendia in 2017, remains an investor in the firm.
"Transcendia is a leading, global film manufacturer and converter with a strong, resilient business, and the company is well-positioned for continued profitable growth," IOP Director Kyle Kirk said in a statement.
"We are confident in the leadership team's ability to continue executing the business transformation. ... We look forward to providing the company with additional resources to accelerate its momentum and expansion into additional growth markets."
The deal eliminates more than $200 million in debt and provides Transcendia with $114 million in new capital.
"This transaction provides us with additional capital and financial flexibility to continue building upon the significant progress we have made on several transformational initiatives to improve our cost structure, optimize our facility footprint and grow our business," CEO John Bagnuolo said in a statement.
"Our 2021 $40 million expansion in our Hebron, Ohio, facility increased our barrier film manufacturing capabilities for biopharmaceutical, food and beverage, and specialty industrial packaging, allowing us to expand into new markets and serve new customers," he said.
That 2021 project added 52,000 square feet of manufacturing space for the company that changed its name from Transilwrap to Transcendia in 2016.
Transcendia has 14 manufacturing locations and three distribution centers around the world. It is No. 21 among North American film and sheet makers according to Plastics News ranking data, with an estimated $460 million in sales in the region.