BERLIN - A Berlin manufacturer has a new opportunity to grow.
Artemis Capital Partners, a Boston-based private equity firm that focuses on acquiring and growing manufacturers, acquired a majority stake of StanChem, located at 401 Berlin St. in East Berlin with a 125,000 square feet of space.
StanChem, founded over 40 years ago, develops and manufactures emulsion polymers, which get used in coatings, painting and adhesives, and an Aldi product line, which are specialty fire prevention coatings.
“Their core technology is formidable, their customer base is an exceptional customer base,” said Stephen McGuff, vice president of operations of StanChem, who was a technical advisor with Artemis Capital Partners during the acquisition transition. “It was a great fit for our plans to be a partner in growth and help grow the company.”
McGuff was unable to comment on the acquisition amount and exact ownership percentage as part of the closing agreement. He said StanChem came up on the radar of ACP after the previous owner was looking to sell the company, as a company that they look for, where they can bring expertise and capital and grow beyond their current state.
“It’s a strong, blue chip customer base. It’s a strong innovation-based company,” said James Ward, principal at ACP, on what StanChem offers that interested them. “The laboratory is the heart of that company, with new formulations in partnership with customers. Artemis loves those engineer to engineer product businesses. In addition, it’s a really motivated employee and team member culture, which we love. That’s really at the heart of growth.”
McGuff explained that as a result of the acquisition, training for previous employees and hiring of new employees will occur. He was unable to say how many jobs will be brought on board. He said capital expansions of new equipment, retrofitting existing and expanding a lot of the process systems, while maintaining and expanding the same product line to support and expand their customer base will also occur. Ward added that investments will go into the lab and in sales and marketing for the company.
Michael Foley, who has a PhD. in polymer sciences; Peter Hunter, and Ward of ACP will join Paul Stenson, vice president of technology, sales and marketing at StanChem; and Jack Waller, the previous StanChem owner, on the company’s board of directors, with Foley serving as chairman.
“We have high conviction in this,” said Ward. “If you follow this in 2020, StanChem what it will look like, it will continue to be a healthy company, and even a bigger company with a bigger name, and hopefully employing a lot more people.”
Charles Paullin can be reached at 860-801-5074 or firstname.lastname@example.org.