New York – SK Capital Partners has completed its acquisition of global additives and intermediates manufacturer SI Group, the private investment firm announced 15 Oct. Terms of the deal were not revealed.
The deal, it said, combines SI Group, which has sales of around $1 billion, 2,800 employees and 20 global manufacturing facilities with Addivant, part of SK Capital’s portfolio since 2013.
Based in Danbury, Connecticut, Addivant operates 11 manufacturing locations worldwide. It has sales of about $500 million and around 440 employees.
The newly combined company, based in Schenectady, New York, will trade under the SI Group brand. It will supply additives, process ‘solutions’, pharmaceuticals and chemical intermediates to the plastics, rubber, fuel & lubricants, oilfield and pharma [API] industries.
Led by Frank Bozich and John Steitz, the SI Group will operate with a global workforce of over 3,000 employees and 30 manufacturing facilities, SK Capital stated.
Combining SI Group and Addivant creates “a global leader in the performance additives market with backward integration into key chemical intermediates,” claimed Barry Siadat, managing director of SK Capital.
The equity firm’s boss also noted the potential for significant earnings growth from commercial and cost synergies.
Linking the chemicals and pharma portfolios will also give SI Group access “to certain technologies and relationships to accelerate growth and bring novel solutions to the market,” added Jack Norris, a managing director of SK Capital Partners.