PAWCATUCK, Conn. (Oct. 31) — Machinery supplier Davis-Standard L.L.C. has been acquired by its managers and an investor group led by Hamilton Robinson L.L.C., a Stamford, Conn., private equity firm.
The seller, publicly held chemical company, Chemtura Corp., said the deal is for approximately $72 million in cash, plus an additional $8 million that is contingent upon certain post-closing determinations.
Davis-Standard plans to expand its global converting and extrusion equipment business, said Davis-Standard President Charles Buckley.
Management will own more than 20 percent of the company´s common equity, Buckley said.
"This is a very important ingredient for the future success of the company. A management team thinking and acting as owners is an empowered leadership team," he added. The management ownership ranks includes "dozens of managers, and the company intends to offer the rewards of ownership to even more managers in the near future," the company said in a news release.
Davis-Standard has facilities in Pawcatuck; Somerville, N.J.; and Fulton, N.Y.; as well as in Germany and the United Kingdom.
The company manufactures extruders, feedscrews, barrels, and process controls for the flexible web converting, plastics processing and rubber industries.