Taking advantage of its recent fund closing, Linsalata Capital Partners, a Cleveland-based private equity firm, last month churned out two deals in two industries. Linsalata closed on $331.5 million for Linsalata Capital Partners Fund IV LP late last year (Buyouts Nov. 5, 2000, p. 1).
The firm, along with company management, acquired Waddington Jaycare/Waddington Trans Container, a manufacturer of rigid plastic packaging for the nutritional, pharmaceutical, food and personal care industries.
Serving as Linsalata’s platform acquisition in the packaging industry, the company will be renamed Paradigm Packaging.
“The company is at a transition moment with new business partners, and our new name reflects our mission to set the standard in rigid plastic packaging for innovation and creativity’,” said Rob Weber, vice president of Linsalata, in a statement.
The firm plans to pursue a growth strategy that includes acquisitions and efforts to expand the product line and markets served by the company.
Based in Carlstadt, N.J., Paradigm Packaging’s product line consists of stock and custom blow molded bottles and injection molded specialty closures. It has four manufacturing sites in New Jersey, Utah and California. The company generated $55 million in revenue last year.
Also last month, Linsalata Capital Partners acquired all the equity of PGT Industries‘ founder and chairman Paul Hostetler. PGT Industries manufactures window and door products serving the new construction and remodeling industries in the Southeast.
The Venice, Fla.-based company reported $120 million in revenue last year.
Linsalata plans to expand PGT Industries through acquisitions that will enhance its geographic presence. However, this plan was in place before Linsalata came into the picture, but the company needed a financial partner to help it achieve its long-term goals.
“At the present pace, we would have outgrown our manufacturing space in less than three years,” said Randy White, PGT president. “Our objective was to find a partner who shared our growth philosophy and could help us achieve our strategic goals.”
PGT Industries’ products include aluminum and vinyl windows and doors and custom engineered patio enclosures. The company also has a line of impact-resistant windows and doors that meet the impact and wind-load requirements of the strict Florida coastal building codes.
Although financial details on Linsalata’s two acquisitions were not available, the firm generally Linsalata looks to make acquisitions of manufacturing, service or distribution companies with annual sales ranging from $50 million to $350 million, selling for $150 million to $175 million.