Huron Capital Partners LLC, the Detroit private equity firm focused on middle-market firms, said that its specialty-coatings platform, Valentus Specialty Chemicals Inc. acquired the floor-finishes business of Precision Technology LLC of Memphis. Terms weren’t disclosed. Valentus closed its first investment in December 2015 with the acquisition of coatings producer National Paint Industries. Mike Beauregard, senior partner at Huron Capital, said that Huron had foreseen an add-on deal like this one and said the firm hopes to expand Valentus’s product lines and geographic footprint. Valentus is based in North Brunswick, New Jersey.
DETROIT, April 14, 2016 /PRNewswire/ — Huron Capital Partners LLC (“Huron Capital”) today announced its specialty coatings ExecFactor® platform, Valentus Specialty Chemicals, Inc. (“Valentus”), has acquired the floor finishes business of Memphis, TN-based Precision Technology LLC. (“Precision”). Huron Capital formed Valentus in partnership with coatings industry veterans Ray Chlodney, John Ragazzini and Bob Taylor to pursue a buy-and-build initiative in the industrial coatings sector. Valentus closed its first investment in December 2015 with the acquisition of coatings manufacturer National Paint Industries (“NPI”).
Precision’s floor coating business has a proven acid cure floor coating system which includes the Swedish Finish & Swedish Crown product lines and the Precision Polyurethane oil-based finish. Lanny Trottman, founder and owner of Precision, will retain ownership of Precision’s wood filler and wood patch products, maintenance products, and roller and brush products, which are not part of the transaction. The floor coating business will move to NPI’s facility in North Brunswick, New Jersey.
Valentus CEO Chlodney said, “The NPI team has known Precision for a long time and has always thought highly of the business. We are excited to add these products to the Valentus lineup as we look to expand our presence in the floor coatings market. In partnership with Huron Capital, we are actively looking for additional complementary coatings companies as we continue to grow the Valentus platform.”
Mike Beauregard, Senior Partner at Huron Capital, added, “This is the type of strategic add-on acquisition we envisioned when we created the Valentus ExecFactor® initiative, and we are pleased that it came less than four months after the first Valentus investment. We are excited about partnering with Ray, John and Bob, and will be looking to expand Valentus into additional geographies and new product lines.”