Packaging distributor TricorBraun announced it has entered into a stock purchase agreement with funds managed by Ares Management Corporation’s Private Equity Group and Ontario Teachers’ Pension Plan Board. Ares and Ontario Teachers’ will acquire a majority interest in the company.
“TricorBraun is uniquely positioned to serve the requirements of the packaging industry,” says Karen Frank, senior managing director of equities for Ontario Teachers’. “The company has made significant investments in top talent and operations and will seek to capitalize on those to drive long-term growth in the years ahead. We are thrilled to have the opportunity to partner with TricorBraun through its next chapter.”
TricorBraun’s management team, including executive chairperson Keith Strope and president and CEO Court Carruthers, will continue to lead the company following the close of the transaction. “Ares and Ontario Teachers’ are the right partners to help us expand on our steady growth as we continue to build the best place for the best people in packaging,” says Carruthers. “We have had a tremendously successful partnership with AEA, culminating with record sales in 2020 and we look forward to working with Ares and Ontario Teachers’ to deliver even greater value to our customers and suppliers over the coming years.”
TricorBraun’s leadership team will also retain an investment in the company, as will its current majority owner, AEA Investors. “We are proud of our work with Strope, Carruthers, and the TricorBraun management team to help drive growth through a number of successful initiatives, creating significant long-term value,” says Tom Pryma, partner at AEA. “We value our strong partnership, and we are excited to continue our support of TricorBraun’s growth strategies.”
TricorBraun packaging solutions include rigid and flexible packaging with stock and custom capabilities. The company says it serves consumer-packaged goods companies and is a packaging provider for the essential personal care and household cleaning, food and beverage, healthcare and nutraceutical industries.
“We believe that TricorBraun’s deep expertise, entrepreneurial approach, strong track record and exceptional culture differentiate the company from its peers,” says Brian Klos, partner of Ares’ Private Equity Group. “We look forward to working with Carruthers and TricorBraun’s strong management team to drive the next phase of the company’s growth, both organically and through strategic acquisitions.”