3i completes Q Holding acquisition from IGP

Industrial Growth Partners has sold Q Holding Company to 3i. No financial terms were disclosed. Based in Twinsburg, Ohio, Q is a maker of precision molded rubber and silicone components.


San Francisco, CA – Industrial Growth Partners is pleased to announce the sale of Q Holding Company (“Q”) to 3i Group plc (LSE:III) in a transaction that closed on December 18, 2014.

Q, headquartered in Twinsburg, Ohio, is a leading global manufacturer of precision-molded rubber components with products serving the medical, automotive original equipment manufacturer (OEM) and automotive aftermarket sectors. Q’s medical products include elastomeric components used primarily in surgical, fluid management, drug delivery, pharmaceutical and other applications. Its automotive products include a diverse offering of electrical connector seals and insulators used in automobile ignition systems. Q also offers a broad range of valuable capabilities including collaborative design & engineering, tooling design and production, materials formulation, automation and assembly services. With a worldwide operating footprint, Q has built a strong reputation as the supplier of choice to its global, industry-leading customer base.

Original Acquisition Details

IGP, together with members of the management team and certain outside investors, acquired the platform company (formerly Lexington Precision Corporation) in August 2011. The transaction created a solid platform for Q to accelerate its growth in the medical segment, enhance its selling capabilities and pursue selective acquisition opportunities. Under IGP’s ownership, the Company invested significantly in its medical business, expanded its Asian manufacturing capabilities and executed on two key strategic acquisitions. In July 2012, the Company acquired Quality Synthetic Rubber, Inc. (QSR), a leading manufacturer of highly-engineered rubber components serving electrical connector suppliers in the automotive industry and OEMs in the medical, heavy transportation and industrial markets. Subsequently, in January 2014, Q purchased Tompkins Pharmaceutical Rubber, a manufacturer of rubber components for the pharmaceutical industry, which provided the Company with immediate access to industry-leading pharmaceutical customers. These acquisitions were an ideal fit with Q as they broadened the Company’s product and service offerings and strengthened its position in highly attractive end markets.

Randy Ross, President and CEO of Q, commented:

“IGP provided valuable support and resources as Q made strategic investments in multiple areas. These included, among others, significantly expanding and improving our medical capabilities through highly effective investments in personnel and infrastructure, in addition to establishing a second Asian facility to better serve our global customer base. Their assistance was also critical in identifying and integrating two strategic acquisitions that provided access to new markets, engineering and manufacturing capabilities and industry-leading customers. Ultimately, these actions enabled us to further solidify our status as a global leader in our medical and automotive niches, accelerate expansion into underpenetrated market segments, and position our business to capitalize on the large, growing global market opportunity.”

IGP, founded in 1997, is a San Francisco-based private equity investment firm with $1.4 billion of equity capital raised since inception. The firm invests exclusively in middle-market companies in the industrial sector in partnership with management teams.