BOSTON, November 15, 2011 - C.W. Downer & Co., a leading global middle-market investment bank, is pleased to announce that Hadley Capital, First Analysis and the other shareholders have sold Kelatron Corporation to Innophos Holdings, Inc. (NASDAQ: “IPHS”). C.W. Downer & Co. acted as exclusive financial advisor to Hadley Capital, First Analysis and the shareholders on the divestiture. The transaction closed on November 2, 2011 for a purchase price of $21 million.
Based in Ogden, Utah, Kelatron Corporation is a leading US manufacturer of technically advanced bioactive minerals that are formulated to dramatically improve the human body’s ability to absorb these critical nutrients. The Company’s solutions are utilized in nutritional supplements, sports nutrition products and functional food products. Kelatron currently produces more than 1,000 unique mineral formulations for its customers. In addition, Kelatron offers custom-blending services as well as complex chemical and microbiological analyses through its stand-alone commercial laboratory, Miller Labs.
Innophos is the leading North American producer of specialty phosphate products for the food, beverage, pharmaceutical and industrial end markets. The Kelatron acquisition fits with Innophos’ strategy of pursuing bolt-on acquisitions that complement its current product offerings. Randy Gress, Chairman and Chief Executive Officer of Innophos, said in a company statement, “Kelatron has a strong position in an attractive, growing, nutraceutical market and has significant manufacturing and technical capability. The combination of Innophos’ strong worldwide customer relationships within the food, beverage and pharmaceutical industries and Kelatron’s expertise in the high value, high growth rate, mineral fortification market is expected to bring significant benefits to both companies.”
“Kelatron is an excellent company positioned for strong growth in the nutritional ingredients market,” said Joseph Downing, Managing Director & Partner of C.W. Downer. “Innophos will be an outstanding partner for Kelatron as they are committed to the nutritional ingredient market and will support Kelatron in achieving its strategic goals,” he concluded.
The C.W. Downer transaction team advising on the sale of Kelatron included Mr. Downing, Gregory Fanikos (Vice President), and Taso Skalkos (Associate) with the firm’s Boston office.
About C.W. Downer & Co.
C.W. Downer & Co. is an independent, global investment bank offering middle-market clients a high level of personal attention coupled with 35 years of international execution experience. We provide insight, not just information. We generate value, not just transactions. With seven fully integrated offices on four continents, we consistently identify the most appropriate strategic buyer and uncover “hidden” acquisition targets. C.W. Downer & Co. delivers the reach of a bulge-bracket investment bank with the senior level focus of a boutique. For more information, visit http://www.cwdowner.com.
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