Audax Private Equity buys Preferred Compounding

Audax Private Equity has acquired Preferred Compounding from Wingate Partners. Financial terms weren’t announced. Barberton, Ohio-based Preferred develops and makes elastomeric compounds in North America.


BOSTON–(BUSINESS WIRE)–Audax Private Equity (“Audax”) today announced that it has partnered with management to acquire Preferred Compounding (“Preferred”) from Wingate Partners. Terms of the transaction were not disclosed.

Headquartered in Barberton, Ohio, Preferred is a leading developer and manufacturer of highly specialized, value-added elastomeric compounds in North America. Preferred supplies proprietary and custom mixed rubber compounds to customers including molders, extruders, mixers and others in the rubber goods market. Primary industries served include automotive, construction, power generation, and roll goods. In addition to its headquarters, the Company has plants located in Tallapoosa, Georgia, Huntingdon, Tennessee, and San Luis Potosi, Mexico. For more information on Preferred,
KeyBanc Capital Markets advised Preferred and Wingate Partners. Kirkland & Ellis LLP served as counsel to Audax.
Geoffrey S. Rehnert, Co-CEO of Audax, said, “We’re looking forward to working with Ken Bloom and the rest of the management team. There is a tremendous opportunity to continue expanding Preferred’s scale and capabilities through both organic and acquisition growth.”
Ken Bloom, CEO of Preferred, said, “We are excited to continue growing the business organically and by leveraging Audax’ expertise in identifying and integrating add-ons. I look forward to working with our new partner and creating a larger strategic enterprise.”
Since its founding in 1999, Audax Private Equity has been focused on building leading middle market companies. Audax has invested over $3.5 billion in 95 platform and 450 add-on companies. Through its disciplined Buy & Build approach, Audax seeks to help platform companies execute add-on acquisitions that fuel revenue growth, optimize operations, and significantly increase equity value. Audax Private Equity is an integral part of Audax Group, an alternative asset management firm specializing in investments in middle market companies. With offices in Boston, New York, and Menlo Park, Audax Group has over $9 billion in assets under management across its Private Equity, Mezzanine, and Senior Debt businesses. For more information, visit the Audax Group website