Chemoxy International Acquired by Novacap with Help from UNW LLP (Newcastle upon Tyne)
Teesside, UK-based chemical manufacturer Chemoxy International is to be acquired by Novacap for an undisclosed figure with the help of business advisers UNW.
Chemoxy CEO Ian Stark (right) and COO Martyn Bainbridge
A leading producer of speciality chemicals and environmentally friendly solvents, Chemoxy employs over 150 people across its Middlesbrough and Billingham sites, and recorded sales of £42 million in 2016. French-based trade buyer Novacap will use the acquisition as an opportunity to expand its Performance Chemicals division and geographical presence.
CEO Ian Stark and COO Martyn Bainbridge, who acquired Chemoxy from US-based Dow Chemicals in 2011, have reduced their stake in the company to a minority holding and will continue in their respective positions.
Commenting on the transaction, Ian Stark said: “Chemoxy is an innovative company with a proven ability to develop new businesses and products, which fits very well with Novacap’s values and ambition.”
The Chemoxy shareholders were advised by Paul Kaiser and James Allsopp from UNW’s Corporate Finance team throughout the deal, and Paul said: “Having worked with Ian and the team over a number of years, it was great to be a part of the sale to Novacap. Off the back of a growth capital finance raising from BGF, the Chemoxy team have developed the business to be a world class provider. We wish the business and the team well in the next phase of its development.”
Ian Stark added: “From the first approach from Novacap late last year, the UNW team have worked alongside us, and their experience and expertise guided us towards a transaction that worked commercially for both buyer and seller, adding considerable value in the process. The resulting transaction is a good outcome for all stakeholders concerned.”
The closing of this acquisition remains subject to customary merger control approval.