NEW YORK, April 20, 2004 - Castle Harlan, Inc., the New York private-equity investment firm, said today that an investment group it led had completed the sale of Verdugt, B.V., the world's largest manufacturer and global marketer of organic acid salts, to CVC Capital Partners, a leading European private-equity firm. Terms of the transaction were not disclosed.
CVC had been part of the investment group that acquired Verdugt in February 1999 from BP Amoco. Verdugt's management participated with CVC in the latest transaction.
Along with Castle Harlan, the sellers included Wachovia Capital Partners, Demetree Investment Group and the principals of US Salt Holdings LLC.
Verdugt manufactures organic salts and organic acid blends and distributes them through four market-focused divisions: Agricultural Products, Fine Chemicals, Clearway de-icers for airport runways and Verdugt Organic Acids (VOA). The company supplies diverse markets, including the pharmaceutical, animal feed and food industries, and has leading market positions in more than 100 countries worldwide.
Verdugt, founded in 1851, is based in Tiel, the Netherlands, and operates principally from two manufacturing bases, in Tiel and in Barcelona, Spain.
Founded in 1987, Castle Harlan is a leading New York private-equity investment firm, investing primarily in controlling interests in the buyout and development of middle-market companies in North America and Europe. Castle Harlan's team of 10 managing directors, including its founders, has completed more than 60 acquisitions with a total value in excess of $7 billion. The firm, whose roots date back to the start of the institutionalized private-equity business in the late 1960's, has managed private-equity capital in excess of $2.5 billion.
Castle Harlan also invests in Australia, New Zealand and the Australasian region through its Sydney-based affiliate, CHAMP, which is one of Australia's oldest and largest private equity firms.
Castle Harlan's portfolio companies, which employ more than 26,000 people, include Associated Packaging Technologies, the country's leading manufacturer of CPET containers for the frozen food industry; Morton's Restaurant Group, owner of the Morton's of Chicago steakhouses; and Advanced Accessory Systems, the largest manufacturer of automotive roof racks and tow systems in North America and Europe.