NEW YORK—Arsenal Capital Partners, a private equity firm that invests in middle-market specialty industrial and health care companies, acquired Carolina Color Corp. as well as Breen Color Concentrates L.L.C. alongside the management teams of each company.
The combined business has five manufacturing facilities throughout the U.S.
Headquartered in Salisbury, N.C., Carolina Color is a supplier of custom color concentrates for the plastics industry serving customers across multiple end markets.
Arsenal is uniquely positioned to support Carolina Color's next phase of growth and development, said Matt Barr, vice chairman of Carolina Color, in a statement.
Headquartered in Lambertville, N.J., Breen is a supplier of color concentrates for the plastics industry with a focus on the wire and cable, packaging and consumer end-markets. In Feb. 2016, Breen acquired Hudson Color Concentrates, enabling its expansion into engineered resin-based concentrates and further expanding is manufacturing footprint in the Northeast and Midwest U.S. Breen and Hudson were majority-owned by Connecticut-based private equity firm Capital Partners.
The combination brings together complementary manufacturing capabilities and expands market reach, said Breen President Howard DeMonte in a statement.
The combination represents the next phase of growth for both businesses and is an important milestone in a long-term strategy to build a color concentrate business offering customized and proprietary solutions, said Tim Zappala, a partner of Arsenal, in a statement. Arsenal will continue the companies' records of growth both through organic initiatives as well as building through strategic acquisitions.
Stout Risius Ross Advisors acted as financial advisor to Arsenal in conjunction with the acquisition of Breen.