Carousel Capital Buys Copac Inc.

Carousel Capital has acquired Copac Inc., a Spartanburg, S.C.-based specialty packaging company, from its founder. No pricing terms were disclosed for the deal, which included leveraged financing from RBC Bank. 

PRESS RELEASE

Carousel Capital announced today its acquisition, in partnership with packaging executive Jerry Lux, of Copac, Inc., a leading specialty packaging company. Based in Spartanburg, SC, Copac provides high end folding cartons, labels, inserts, hanging tags and envelopes to customers primarily in the home fragrance, tobacco, personal care, pharmaceutical, nutraceutical and other consumer markets. Copac was acquired from the founder and owner of the business.

 

Founded in 1970, Copac grew from a locally oriented packaging business into a high quality producer of specialty packaging products for customers in specific niche markets. The company’s products fall into primarily four categories: labels, folding cartons, inserts and hanging tags. Copac’s label offerings include pressure sensitive and non adhesive labels featuring various finishing applications. The company’s folding cartons come in many styles that can utilize UV coating, embossing, foil stamping and other finishing techniques. The company is also active in providing inserts primarily for pharmaceutical and hosiery companies. Finally, Copac produces tags in a variety of stocks, sizes and styles and envelopes with high quality print and adhesive capabilities.

Carousel Capital is partnering with packaging executive Jerry Lux, who has assembled a management team comprised of several experienced packaging executives along with existing Copac employees. Mr. Lux founded the specialty packaging division of Cadmus in 1993 and grew the business into one of the leaders in its chosen markets. Cadmus was subsequently acquired by Cenveo and Mr. Lux left the company in November, 2008. Following the transaction, Mr. Lux and the management team will have significant ownership in the business.


“We are delighted to be working in partnership with Carousel Capital in acquiring Copac,” said

Lux. “Carousel has demonstrated a strong commitment to supporting our growth strategy in the packaging sector that will allow us to capitalize on many opportunities in this economic environment.”

 

“Jerry and his management team have an excellent track record of achieving growth in niche packaging markets,” said Jason Schmidly, a Managing Partner of Carousel Capital. “Copac’s strong performance and reputation with its customers, combined with Jerry Lux’s experienced management team will create a powerful combination in the pursuit of our growth objectives.”

Carousel Capital funded the transaction with equity from its third investment fund, Carousel

Capital Partners III. Financing for the transaction was provided by RBC Bank. K&L Gates LLP served as legal advisor to Carousel Capital.

 

About Carousel Capital

Carousel Capital is a private investment firm that invests in companies located in the

Southeastern United States. Carousel’s investor base includes institutional investors and an elite group of more than 100 current and former CEOs with significant operating experience. Since its inception, Carousel has invested in 28 companies primarily in three targeted growth sectors: business services; consumer products and services; and healthcare services.