Compass Diversified-Backed Altor Solutions, Inc. Announces Acquisition of Plymouth Foam
05 Oktober 2021 - 2:30PM
Altor Solutions, Inc. (“Altor” or “Altor Solutions”), a subsidiary
of Compass Diversified (NYSE: CODI) and a leading designer and
manufacturer of custom protective packaging solutions and
componentry, today announced that it has acquired Plymouth Foam,
LLC (“Plymouth”), a manufacturer of protective packaging and
componentry, for an enterprise value of $56 million, excluding
customary closing adjustments.
This transaction strengthens Altor’s status as a leading
provider of packaging and componentry solutions through an expanded
geographic presence, the addition of capabilities in componentry
design and the cold chain sector and access to a broader base of
clients across a wide variety of end-markets, including food and
beverage, pharmaceuticals, recreational vehicles and construction.
Plymouth, headquartered in Plymouth, Wisconsin and founded in 1978,
operates two manufacturing facilities in Plymouth and Gnadenhutten,
Ohio. With a high-value product offering – including custom
protective packaging, cold chain packaging and internal components
made from expanded polystyrene and expanded polypropylene –
Plymouth’s world-class engineers provide tailored solutions and
design applications that Altor expects can be leveraged across its
growing geographic footprint and customer base.
“This transaction builds on a period of growth and momentum that
began with our rebranding to Altor Solutions earlier this year,”
said James Hughes, CEO of Altor. “We believe that the acquisition
of Plymouth, with its wide array of high-value, highly engineered
products, further expands our business and capabilities. With
access to Plymouth’s diversified client base, two well-placed
manufacturing facilities, complementary expertise and talented
team, we are confident we will significantly expand Altor and
Plymouth’s combined reach throughout the country. We are pleased to
welcome Plymouth’s impressive team and look forward to capitalizing
on the strengths of both companies as we deliver the best solutions
for our growing customer base.”
“Altor has capitalized on the strong market for packaging and
componentry, and we believe there is tremendous potential for
growth through this combination with Plymouth,” said Elias Sabo,
CEO of CODI. “We are excited to leverage CODI’s permanent capital
structure to make this strategic investment and help build our
subsidiary’s business. With CODI’s support, Altor is able to
facilitate this transaction at the right time and capitalize on
evolving consumer demands to position its strong platform for
growth, enhancing long-term value for CODI shareholders.”
About Altor Solutions
Headquartered in Scottsdale, AZ, Altor Solutions is a dynamic,
engineering-driven company whose goal is to design and produce
superior products that help customers solve their needs for
Packaging, Insulation and Componentry (PIC). The company offers a
wide range of materials from traditional plastics to organic and
plant-based options. Founded in 1957, the company operates 16
state-of-the-art facilities across North America specializing in
the production and assembly of key components utilized in
protective packaging, OEM componentry and temperature-controlled
containers. For more information, please visit
www.altorsolutions.com.
About Compass Diversified (“CODI”)
CODI owns and manages a diverse set of highly defensible North
American middle market businesses. Each of its current subsidiaries
is a leader in its niche market.
Leveraging its permanent capital base, long-term disciplined
approach and actionable expertise, CODI maintains controlling
ownership interests in each of its subsidiaries, maximizing its
ability to impact long-term cash flow generation and value
creation. CODI provides both debt and equity capital for its
subsidiaries, contributing to their financial and operating
flexibility. CODI utilizes the cash flows generated by its
subsidiaries to invest in its long-term growth and has consistently
generated strong returns through its culture of transparency,
alignment and accountability.
CODI’s ten majority-owned subsidiaries are engaged in the
following lines of business:
- The design and marketing of purpose-built technical apparel and
gear serving a wide range of global customers
(5.11);
- The manufacture of quick-turn, small-run and production rigid
printed circuit boards (Advanced Circuits);
- The design and manufacture of custom packaging, insulation and
componentry (Altor Solutions);
- The manufacture of engineered magnetic solutions for a wide
range of specialty applications and end-markets (Arnold
Magnetic Technologies);
- The design and marketing of dial-based closure systems that
deliver performance fit across footwear, headwear and medical
bracing products (BOA Technology);
- The design and marketing of wearable baby carriers, strollers
and related products (Ergobaby);
- The design, manufacture, and marketing of high-end,
one-of-a-kind jewelry (Lugano Diamonds);
- The design and manufacture of baseball and softball equipment
and apparel (Marucci Sports);
- The manufacture and marketing of portable food warming systems
used in the foodservice industry, creative indoor and outdoor
lighting, and home fragrance solutions for the consumer markets
(Sterno); and
- The design, manufacture and marketing of airguns, archery
products, optics and related accessories (Velocity
Outdoor).
Forward Looking Statements
This press release contains certain forward-looking statements
within the meaning of Section 27A of the Securities Act of 1933, as
amended, and Section 21E of the Securities Exchange Act of 1934, as
amended, including statements with regard to the expectations
related to the future performance of Altor and CODI. Words such as
“believes,” ”expects,” “will”, “anticipates,” “intends,” ”projects”
“potential”, “assuming,” and "future" or similar expressions, are
intended to identify forward-looking statements. These
forward-looking statements are subject to the inherent
uncertainties in predicting future results and conditions, some of
which are not currently known to CODI. In addition to factors
previously disclosed in CODI’s reports filed with the SEC, the
following factors could cause actual results to differ material
from forward-looking statements: business disruption following the
closing of the transaction; changes in the economy, financial
markets and political environment; risks associated with possible
disruption in CODI’s and/or Altor’s operations or the economy
generally due to terrorism, natural disasters, social, civil and
political unrest or the COVID-19 pandemic; future changes in laws
or regulations (including the interpretation of these laws and
regulations by regulatory authorities); general considerations
associated with the COVID-19 pandemic and its impact on the markets
in which CODI and/or Altor operate; and other considerations that
may be disclosed from time to time in CODI’s publicly disseminated
documents and filings, including, but not limited to, the factors
enumerated in the Form 10-K filed by CODI with the SEC for the year
ended December 31, 2020, the proxy statement filed by CODI with the
SEC on June 23, 2021 and other filings with the SEC,. Except as
required by law, CODI undertakes no obligation to publicly update
or revise any forward-looking statements, whether as a result of
new information, future events or otherwise.
Media Contact
Joele Frank, Wilkinson Brimmer KatcherJonathan Keehner / Kate
Thompson / Lyle Weston212-355-4449
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