Riverlake Partners Acquires SP Industries -- Specialty Glass and Equipment Manufacturer Poised for Strong Growth.PORTLAND, Ore. -- Riverlake Partners, LLC (Logical Link Control) See "LANs" under data link protocol. LLC - Logical Link Control , a private equity buy-out fund, today announced its acquisition of Pennsylvania-based SP Industries, a specialty glassware and equipment manufacturer serving the pharmaceutical, biotechnology, educational, industrial, and OEM (Original Equipment Manufacturer) The rebranding of equipment and selling it. The term initially referred to the company that made the products (the "original" manufacturer), but eventually became widely used to refer to the organization that buys the products and markets. The value of the acquisition was not disclosed. Continued growth in underlying drug development and manufacturing, international expansion opportunities, significant early stage growth initiatives, and industry consolidation all contributed to Riverlake's decision to complete the acquisition. The purchase, completed by Riverlake Equity Partners Fund I from Ridge Capital Partners, Merritt Capital and Aegon Investment Management, includes the entire SP Industries family of brands: Wilmad-LabGlass, VirTis, Hotpack and Hull. SP Industries generates annual revenue of approximately $60 million. The announcement follows two years of corporate restructuring at SP Industries, which streamlined operations and increased customer responsiveness. Under the leadership of CEO (1) (Chief Executive Officer) The highest individual in command of an organization. Typically the president of the company, the CEO reports to the Chairman of the Board. , Charles (Chuck) L. Grant, the company's new management team has centralized cen·tral·ize v. cen·tral·ized, cen·tral·iz·ing, cen·tral·iz·es v.tr. 1. To draw into or toward a center; consolidate. 2. support operations, consolidated facilities, begun focusing on new product development, and developed several cross-brand selling initiatives, both domestic and international, to capitalize on Cap´i`tal`ize on` v. t. 1. To turn (an opportunity) to one's advantage; to take advantage of (a situation); to profit from; as, to capitalize on an opponent's mistakes s>. its large installed base of products. The company has also implemented a number of manufacturing process improvements which are improving lead times and product quality. "We've spent the past two years increasing efficiencies and market potential for our products. Our partnership with Riverlake brings a new level of expertise to fuel the company's growth. We'll also gain access to the capital necessary to make synergistic acquisitions," said Grant, who is also an operating partner at Riverlake Partners. "The commitment from Riverlake and its partners also sends a strong signal to our employees and the market that SP Industries is here for the long-term. We expect steady growth into the future." Riverlake Partners led the acquisition of SP Industries and will maintain control of the company. Commerce Bank, based in Philadelphia, Pa., provided the senior credit facility, while MVC (Model View Controller) An architecture for building applications that separate the data (model) from the user interface (view) and the processing (controller). Capital, Citizens Capital and GIV GIV Gasherbrum IV (26,000 ft. mountain near Pakistan-China) GIV Geological Information Visualization Partners provided subordinated debt Subordinated Debt A loan (or security) that ranks below other loans (or securities) with regard to claims on assets or earnings. Also known as "junior security" or "subordinated loan". and preferred equity, respectively. "SP Industries is an ideal platform business for Riverlake," said Erik Krieger, Riverlake Partner's General Managing Partner. "It includes a superior, committed management team, large market position in many of its product offerings, international presence, and a significant infrastructure to build upon. SP Industries is poised to take advantage of several positive industry trends and broaden its reach through product line extensions Product line Extensions and Patient safety In a world of product line extensions, there are many different products with similar names. Examples of these include oxycodone versus oxycontin (oycodone CR), buproprion vs buprion SR vs bruproprion XL, codeine versus codeine contin . We are optimistic op·ti·mist n. 1. One who usually expects a favorable outcome. 2. A believer in philosophical optimism. op about the SP Industries franchise and its future." About SP Industries SP Industries is a global supplier of specialty glassware, environmental control chambers and laboratory to production scale lyophilizers. It markets its products under the following well-known brands: Wilmad-LabGlass, VirTis, Hotpack and Hull. The company employs 120 people at its headquarters in Warminster, Penn., where its Hull and large Hotpack branded products are manufactured. It operates an additional equipment production facility in Gardiner, NY. Its Glass operations are located in Vineland/Buena, NJ. The company's primary customers are research labs and production facilities in industrial, university, and government accounts in the Pharmaceutical, Biotech, and Life Science markets. Visit www.SPindustries.com for more information. About Riverlake Partners Riverlake Partners, LLC, is a private equity buy out fund with a targeted focus on traditional economy manufacturing, distribution and service businesses. Founded in 2003, Riverlake seeks controlling interests in companies through commitments of $3 to $8 million in a variety of leveraged buyout leveraged buyout, the takeover of a company, financed by borrowed funds. Often, the target company's assets are used as security for the loans acquired to finance the purchase. , consolidations, recapitalizations and growth financing transactions. The company has a unique strategic alliance with Lincoln Partners, LLC, a Chicago-based middle market investment banking firm. Riverlake has offices in Portland, Ore., and Chicago, Ill., and a national network of partners and advisors. For more information visit www.riverlakepartners.com. |
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