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UPDATED: Milacron under new ownershipUPDATED: Milacron under new ownership

Plastics machinery and industrial fluids manufacturer Milacron LLC has been acquired by CCMP Capital Advisors LLC from Avenue Capital Group, the private equity firm that bought the plastics stalwart out of bankruptcy in June 2009.

PlasticsToday Staff

March 30, 2012

2 Min Read
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, the private equity firm that bought the plastics stalwart out of bankruptcy in June 2009. Avenue's acquisition of Milacron was approved by the bankruptcy court on June 26, 2009 during that year's NPE, with this new deal announced just days before NPE2012 opens. The transition was planned, according to a Milacron spokesperson who told PlasticsToday that Avenue's acquisition focus is on distressed companies. Now that Milacron is on surer footing, the spokesperson said that Avenue "began looking for an investor like CCMP that would be able to take Milacron to the next level."

The transaction is expected to close in the second quarter of 2012. Milacron's management team will continue with the company, which will remain headquartered in Cincinnati, OH. Financial terms of the transaction were not disclosed. As a corporation, Milacron's 2011 sales increased to $780 million, according to the company spokesperson, climbing more than 20% over 2010. The added revenue has allowed the company to inject cash into its businesses, reinvesting $10 million of capital in 2010 and another $20 million in 2011. There has also been $10 million spent on research and development, primarily targeting new products. Global staffing as of February 2012 stood at 2848, up 233 from February 2011.

Founded in 1884, Milacron has 22 facilities and more than 2700 employees, the company supplies injection molding, structural foam molding, blowmolding, and extrusion equipment, as well as mold and machine components and industrial fluids, through its two key business areas. The company's integrated business units include Milacron Plastics Machinery, Ferromatik Milacron, DME, Uniloy, Milacron Americas Aftermarket, and CIMCOOL Fluid Technology.

"We are delighted to welcome CCMP to the Milacron team, especially given their exceptional experience investing in and supporting the growth of plastics and industrial companies," said Dennis Smith, CEO of Milacron. "Today Milacron's growth prospects are stronger than ever. With renewed financial stability and CCMP's support, we expect to continue to expand our market share, extend our global reach, and invest in technologies to meet our customers' needs around the world over the long term."

CCMP's portfolio companies are spread among consumer/retail and media, energy, industrial, and healthcare. Plastics related investments include Berry Plastics, Klöckner Pentaplast, Kraton Polymers, and M&H Plastics.

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