January 11 2022, David R Brown
OpenGate Capital acquires full-line chemical distributor, Chemsolv Inc. in the U.S.
OpenGate Capital, a global private equity firm, has acquired Chemsolv Inc., a leading regional distributor of commodity and specialty chemicals in the U.S. The business was acquired from the Austin family, who will continue to retain an ownership stake and role in the company. Terms of the acquisition were not disclosed.
Today represents an important point in Chemsolv's 40 plus-year history through our partnership with OpenGate. Our business is well poised for growth and expansion, and we're looking forward to continuing to serve our customer baseJamie Austin
President of Chemsolv, Inc.
Chemsolv was founded in 1979 by Mr. Glenn Austin and has four mid-Atlantic distributions centers strategically located in key chemical markets with access to major highway corridors in South Carolina, Tennessee and Virginia. The business operates a hub-and-spoke distribution model with a fleet of 41 trucks and approximately 1.5 million galls of bulk storage capacity providing the business with significant operational flexibility. Chemsolv distributes a wide range of more than 1,000 chemical products sold to a variety of customers and end markets including solvents, plasticizers, coolants, lubricants, surfactants, diesel exhaust fluid, additives, and other products. Customer end-use markets include construction, roofing, chemical intermediates, paints and coatings, automotive, and others. In addition to distribution, Chemsolv provides a range of value-added services including solvent recovery, blending, packaging, formulation, transportation, and transloading.
OpenGate Capital's Founder and Chief Executive Officer Andrew Nikou stated, “Glenn and Jamie Austin have built a successful business with well-established supplier partnerships, and broad range of capabilities. We're excited to work together and build on this success.”
“Today represents an important point in Chemsolv's 40 plus-year history through our partnership with OpenGate. Our business is well poised for growth and expansion, and we're looking forward to continuing to serve our customer base,” said Jamie Austin, Chemsolv President who will continue to serve in his role.
Chemsolv, Inc. is a growing organization that is poised for the future in the US chemical distribution industry. Chemsolv was founded in November 1979 by Mr. Glenn Austin. Chemsolv has been built by a solid service team of managers and staff dedicated to satisfying a highly diversified customer base. The headquarters and main distribution facility are located in Roanoke, Virginia. Chemsolv represents over 100 manufacturers of industrial chemicals, silicones, solvents, lubricants, metalworking fluids, and other specialty products, all of which are supported by a commitment to the continuous improvement in our operating practices, and The Responsible Distribution Process of the NACD.
Source(s): Chemsolv Press Release