HC PRIVATE INVESTMENTS ANNOUNCES STRATEGIC INVESTMENT IN KRUGER PLASTIC PRODUCTS
CHICAGO – January 17, 2018 – HC Private Investments (“HCPI”), a Chicago-based private investment firm, today announced that it has acquired Kruger Plastic Products (“Kruger”), a family-owned, custom injection molding manufacturer of niche products and components. Kruger’s senior management, including Pat Brandstatter, President, and Dirk Kruger, VP of Engineering, will maintain significant stakes in the company. Terms of the transaction were not disclosed.
Kruger has been an integral part of its customers’ manufacturing process for more than 40 years by providing them with end-to-end, value-added injection molding solutions, from in-house production engineering and design, raw material sourcing, tool making, logistics, assembly and inventory management. Kruger currently serves customers across a variety of industries including consumer, industrial, and recreational vehicle end-markets. Kruger is based in Bridgman, MI and has approximately 100 employees.
HCPI has identified numerous opportunities to accelerate sales growth through strategic investment in manufacturing capabilities and personnel to better serve Kruger’s existing customer base, as well as expand into new end markets such as medical products.
Pat Brandstatter, said, “We are excited to be working with HCPI to build long-term value. We believe that HCPI’s experience and capabilities make them the ideal partner for Kruger to take advantage of the significant opportunities ahead while maintaining our core values of quality and service.”
John P. Kelly, Managing Partner at HCPI, said, “Kruger Plastic Products has distinguished itself through an unwavering focus on quality and service to its many great customers and we are excited to partner with Pat and Dirk to help them expand the business. We have great respect for the team and business that has been built over of the course of four decades.”
Matthew J. Moran, Managing Partner at HCPI, added, “We could not be more delighted to build on the legacy of Kruger Plastic Products, and look forward to working with the team to build a growth platform and bring Kruger’s world-class products and services to a broader array of customers.”
Winston & Strawn LLP served as legal counsel to HCPI. BlueWater Partners served as financial advisor to Kruger. Wintrust Financial Corporation provided debt financing for the transaction.
ABOUT KRUGER PLASTIC PRODUCTS
Established in 1975 as a custom injection molder dedicated to quality and customer service, Kruger Plastic Products today provides customers with quality parts in conjunction with value-added services relating to engineering, design/decoration, material, process, assembly and packaging. Kruger’s facility incorporates 47 injection molding machines ranging in size from 25 tons to 1,000 tons, and supports a fully staffed, full service mold making and repair department with CAD/CAM capabilities and off-line programming. For more information, please visit http://www.krugerplasticproducts.com/.
ABOUT HC PRIVATE INVESTMENTS
HC Private Investments (“HCPI”) is a private equity investment firm focused on making investments between $5 million to $30 million in lower middle-market manufacturing businesses within the consumer and industrial markets. HCPI invests capital from HC Technologies, LLC, a Chicago-based principal trading firm led by Joe Niciforo with offices New York and London. The firm will also bring select family offices and individuals to participate in its transactions providing HCPI with a flexible and patient capital base. With a focus of being the first institutional investor in a business, HCPI seeks to partner with business owners, executives and management teams to identify opportunities to remove impediments to growth enabling companies to maximize their full value potential. For more information, please visit www.hcprivateinvest.com.
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