Advent Cleans Up With Private Label Co. –

Advent International saw a profitable exit on its investment in T-Chem Products Inc. when it sold the private label household cleaning products company to KIK Corp. in late March for less than $50 million, according to a source close to the transaction.

According to William Woo, a principal at Advent, the Boston-based private equity firm acquired T-Chem in 1992 for an undisclosed amount, which Mr. Woo described as more than $5 million.

Los Angeles-based Barrington Associates advised Advent on the exit, holding an auction before inking the deal with KIK Corp., a Toronto-based company that is part-owned by New York private equity firm Centre Partners.

Advent’s restructuring of the Santa Fe Springs, Calif.-based T-Chem during its eight year ownership of the company included selling off a non-core detergent business and spending approximately $1 million to bolster T-Chem’s packaging division.

KIK Corp. also packages private label household cleaning products for major North American retailers. According to a KIK Corp. statement, T-Chem has annual sales of approximately $22 million, which, combined with KIK Corp.’s sales, will create a company with annual revenue of CDN$200 million.