Kruger Plastic Products (“Kruger”), a family-owned, custom injection molding manufacturer of niche products and components, has been acquired by HC Private Investments (“HCPI”), a Chicago-based private investment firm. Kruger’s senior management, including Pat Brandstatter, President, and Dirk Kruger, VP of Engineering, will maintain significant stakes in the company. Terms of the transaction were not disclosed.
Kruger has been an integral part of its customers’ manufacturing process for more than 40 years by providing them with end-to-end, value-added injection molding solutions, from in-house production engineering and design, raw material sourcing, tool making, logistics, assembly and inventory management. Kruger currently serves customers across a variety of industries, including consumer, industrial, and recreational vehicle end markets. Kruger is based in Bridgman, MI and has approximately 100 employees.
HCPI has identified numerous opportunities to accelerate sales growth through strategic investment in manufacturing capabilities and personnel to better serve Kruger’s existing customer base, as well as expand into new end markets such as medical products.
Established in 1975 as a custom injection molder dedicated to quality and customer service, Kruger Plastic Products today provides customers with quality parts in conjunction with value-added services relating to engineering, design/decoration, material, process, assembly and packaging. Kruger’s facility incorporates 47 injection molding machines ranging in size from 25 tons to 1,000 tons and supports a fully staffed, full-service mold-making and repair department with CAD/CAM capabilities and offline programming.
HC Private Investments (“HCPI”) is a private equity investment firm focused on making investments between $5 million to $30 million in lower middle-market manufacturing businesses within the consumer and industrial markets. HCPI invests capital from HC Technologies, LLC, a Chicago-based principal trading firm led by Joe Niciforo with offices in New York and London. The firm will also bring select family offices and individuals to participate in its transactions providing HCPI with a flexible and patient capital base. With a focus of being the first institutional investor in a business, HCPI seeks to partner with business owners, executives and management teams to identify opportunities to remove impediments to growth, enabling companies to maximize their full value potential.
Cascade Partners (BlueWater Partners) acted as the exclusive financial advisor, and Varnum acted as the legal counsel to Kruger for this transaction.
Update: BlueWater Partners has joined Cascade Partners. Read more here.