October 2009
DeltaPoint Capital Management, LLC Announces its Latest Investment; Climax Packaging, Inc., an Affiliate of Climax Manufacturing Company, Acquires the Assets of St. Joseph Packaging, Inc.
DeltaPoint Capital Management, LLC, a Rochester, NY based private equity fund manager, is pleased to announce that Climax Packaging, Inc, an affiliate of Climax Manufacturing Company, has acquired the assets of St. Joseph Packaging, Inc., a St. Joseph, Missouri based manufacturer of folding cartons. Climax Manufacturing Company is a portfolio company of DeltaPoint Capital III, L.P.
This acquisition enables the Climax companies to offer enhanced packaging solutions to their customers. Climax's multi-plant operations are capable of producing both high-end, offset printing and long run, flexographic printing. Climax Manufacturing Company currently employs 240 full-time employees at its Paperboard and Packaging Divisions located, respectively, in West Carthage and Lowville, NY. The knowledge and experience of each company's management team, sales force, and dedicated employees will yield strong benefits for continued growth at both companies.
Climax Manufacturing Company and the former St. Joseph Packaging, Inc. have both been recognized as industry leaders in retail packaging for many years and ship products to customers throughout North America. The companies will remain focused on retail packaging and will also focus on broadening their production capabilities to service the food and industrial markets. With facilities in the Midwest and on the East Coast, the Climax Companies are afforded production flexibility and shipping advantages, both key elements for servicing customers and remaining competitive in today's economy.
"This acquisition allows our companies to expand existing sales channels by increasing both production capability and capacity. The addition of offset printing will allow us to offer greater printing options to our customers. The acquisition supports our company's long-term strategic growth plans," said Patrick Purdy, Chief Executive Officer of both CPI and Climax Manufacturing Company.
Established in 1905, the former St. Joseph Packaging, Inc has been a family owned business for over 100 years. Founded as a producer of folding paper boxes and corrugated shipping cases, the company has grown to become one of the most respected paper board converters in the United States. Specializing in high-end, offset printing and unique design capabilities, the company will continue to supply packaging to multiple industries, including retail, gourmet and specialty foods, industrial and pharmaceutical. "The reputation of St. Joseph Packaging has been built on quality and customer service. We look forward to the integration of St. Joseph Packaging, Inc into the Climax companies. The combined strength of our companies will allow us to continue as the premier supplier in retail and industrial packaging" said Charles Hamilton, former President of St. Joseph Packaging, Inc. The St. Joseph, MO, site will continue to be fully staffed to ensure no interruption in service to customers.
Both CPI and Climax Manufacturing Company are owned by an investor group led by DeltaPoint Capital Management, LLC, a Rochester, NY based manager of private equity. DeltaPoint makes lead-sponsored investments in change of control transactions throughout the Northeast United States with a particular focus on New York State, and partners with strong management teams to drive growth and profitability within credit-worthy, cash-flow-positive companies in underserved markets. The Company's Fund Managers and Operating Directors provide guidance and oversight from the board level in every DeltaPoint investment.
Equity co-investors in Climax Manufacturing Company include Hamilton Lane, which is investing funds from the New York State Common Retirement Fund.
