PE firm Audax puts liquid colour maker ColorMatrix for sale
16 Jul 2011
ColorMatrix Corp, a supplier of additive, colorant and dosing technologies for the thermoplastic industry, has been put up for sale by private equity firm, Audax Group, Reuters today reported, citing sources familiar with the matter.
The sale could bring in more than $400 million for the Boston, Massachusetts-based PE firm that manages over $4.8 billion of capital.
With operations in North America, Europe, South America, and Asia, Cleveland, Ohio-based ColorMatrix is the world's largest manufacturer of liquid color and additive concentrates for thermoplastic products.
ColorMatrix customers are in the blow molding, industrial extrusion, and performance molding industries who manufacture beverage bottles, vinyl siding, vinyl pipe, and other plastic products.
ColorMatrix has projected annual earnings before interest, taxes, depreciation and amortization (EBITDA) of around $45 million to $50 million, according to Reuters sources, and Audax is hoping to get more than 9 times forward EBITDA for the company.