December 10 2014, David R Brown
US-based Private equity firm Riverside acquires Malaysia-based chemicals distributor
Private equity firm The Riverside Co. (New York) has announced that it has acquired Drex-Chem, a Malaysian-based specialty chemicals distributor. Based near Kuala Lumpur, Drex-Chem has long-term distribution relationships with more than 50 international chemical companies and serves more than 600 customers including several of the largest global paint and coatings companies as well as leading consumer goods companies. Drex-Chem marks the first investment for Riverside in Southeast Asia.
We see many avenues for sustained growth in the dynamic ASEAN region
Dominik Heer
Principal Partner at Riverside Co
“Drex-Chem Malaysia boasts a broad product offering, strong technical capabilities and a knowledgeable salesforce that anticipates and meets both its principals' and customers' needs,” said Riverside Managing Partner Stu Baxter. “It's easy to see why many of the world's premier chemical companies trust Drex-Chem to represent them in Malaysia.”
Riverside plans to grow Drex-Chem Malaysia both organically and through selected add-on acquisitions. The firm anticipates growing Drex-Chem Malaysia's product and service offerings and expanding the company’s geographic footprint.
“Drex-Chem Malaysia has an outstanding foundation and talented team, we see many avenues for sustained growth in the dynamic ASEAN region,” said Riverside Principal Dominik Heer. “We're excited about partnering with the Drex-Chem Malaysia team to build a bigger and better company.”
Riverside has completed nearly 160 transactions in its Specialty Manufacturing and Distribution specialization, and has extensive experience with specialty chemical companies.
About Drex-Chem
Drex-Chem (M) Sdn Bhd distributes specialty chemicals to adhesives and sealants, coatings, household products, personal care, plastics, rubber and water treatment markets. The company was formed in 1987 and is headquartered in Shah Alam, Malaysia. The company also has its own application laboratory facilities.
Source(s): Riverside Press Release