SK Capital Partners has made another plastics-related acquisition, this time buying polystyrene and specialty chemicals maker Deltech Holdings LLC for an undisclosed price.
New York-based SK will own a majority stake in Deltech, which is based in Baton Rouge, La. Bob Elefante, one of Deltech's original founders and current president and CEO, is retaining a significant ownership stake in the firm and will remain actively involved in the business, including serving on its board, officials said in an Aug. 23 news release.
In the release, SK Managing Director Mario Toukan described Deltech as "a world leader in the production of high-performance aromatic monomers and specialized crystal polystyrene." He added that the firm "offers an attractive product portfolio with leading market positions in niche technologies."
In addition to crystal PS resin, Deltech makes vinyl toluene, divinyl benzene and para methyl styrene. The firm employs 135 at plants in Baton Rouge; Troy, Ohio; and Haverhill, United Kingdom.
Elefante said in the release that SK "is the ideal partner, given its track record of successfully supporting the growth of entrepreneur-owned businesses in the specialty chemicals industry."
Deltech employs 135 people across its Baton Rouge headquarters and manufacturing facility, its additional manufacturing facilities in Troy, Ohio and Haverhill, United Kingdom, and its global field operations.
SK has made several plastics-related acquisitions since 2009. The firm's current portfolio includes nylon 6/6 resin leader Ascend Performance Materials of Houston; Geon Performance Solutions, a compounder of PVC and other materials based in Westlake, Ohio; and Techmer PM, a specialty compounder and concentrates maker in Clinton, Tenn. Most recently, SK through Ascend acquired French compounder Eurostar Engineering Plastics late last year.
On the packaging side, SK in the last year has acquired thermoformer Lacerta Group of Mansfield, Mass.; blow-fill-seal maker Catalent Pharma Solutions of Woodstock, Ill.; and Paris-based iPackchem Group, a global firm that makes packaging for crop protection and specialty chemicals.
In a recent interview with Plastics News, SK Managing Director Jack Norris said the firm is looking to make more acquisitions.
"We're looking for companies that have an understanding of the potential of the business," he said. "We have a distinct angle of what we can do with the business under our ownership."
SK's total portfolio generates revenues of about $11 billion annually, employs more than 16,000 people globally and operates 153 plants in 28 countries. The firm currently has more than $5 billion of assets under management.