Genstar Capital, LLC, a middle market private equity firm has announced the signing of a definitive agreement to acquire Pretium Packaging, LLC, one of the nation's largest manufacturers of customized, high performance rigid plastic bottles and containers. The transaction is expected to close in June 2014.
Based near St. Louis in Chesterfield, MO, Pretium was founded in 1992 and manufactures rigid plastic containers and closures that require significant technical expertise and proprietary tooling to manufacture. Pretium utilizes its national manufacturing footprint, design and engineering capabilities, and full range of process capabilities to provide customized solutions to its customers in the food & specialty beverage, private label, pharmaceutical, personal care and household & industrial sectors. Pretium distinguishes itself through service, flexibility, speed-to-market and engineering capabilities. The Company sells its products to a diversified customer base ranging from Fortune 500 companies to smaller privately-owned businesses.
George Abd, Pretium's CEO, said, "Pretium has built a strong reputation with its customers for providing highly customized packaging solutions that encompass industry-leading customer service, quality, reliability and innovation. Our management team and employees are eager to work with the Genstar team to further pursue growth investments and strategic acquisitions to expand our product capabilities, enter new end markets and geographies, and continue building on our existing partnerships with our customers." David Golde, who leads Genstar's packaging-related investing efforts, commented, "Pretium represents an outstanding investment opportunity for Genstar that fits well with our investment thesis for the packaging industry. We are attracted to Pretium's long-standing commitment to innovation, customer service and manufacturing excellence that have created strong customer relationships and provide the runway for continued growth. We are excited to be working with the senior management team at Pretium as we share a similar vision to pursue an active acquisition strategy and invest in strategic initiatives."
Rob Rutledge, who leads Genstar's industrial technology vertical, said, "Pretium represents a premier platform that advances our investment approach in the industrial technology vertical and within packaging. We will continue to seek investment opportunities similar to Pretium that benefit from the attractive secular trends driving growth in the packaging industry."