Hastings Equity Partners ("Hastings"), a preferred capital partner to founders of lower middle-market businesses, is pleased to announce the merger of its portfolio company, Imperative Chemical Partners, Inc. ("Imperative") with RSI Chemicals ("RSI"), two leading providers of specialty chemicals in the US.
BOSTON, Feb. 21, 2023 /PRNewswire-PRWeb/ -- Hastings Equity Partners ("Hastings"), a preferred capital partner to founders of lower middle-market businesses, is pleased to announce the merger of its portfolio company, Imperative Chemical Partners, Inc. ("Imperative") with RSI Chemicals ("RSI"), two leading providers of specialty chemicals in the US. One Equity Partners ("OEP") has partnered with Hastings to recapitalize Imperative and simultaneously merge the two companies.
Imperative, a Hastings Fund III investment headquartered in Texas, employs over 500 people with national operations, serving customers across twelve states. Since Hastings' initial investment in 2014, revenues have increased over 10x through both acquisitive and organic growth. To date, Hastings has completed seven add-on acquisitions, expanded operations from a local focus to a national footprint, and recruited experienced managers to provide depth of talent while supporting the long-term vision of the founders. RSI, also headquartered in Texas, was founded in 1989 by Mickey Tucker and provides a wide range of custom chemical formulation, manufacturing, and technical services.
Joe Conlon, Managing Director at Hastings, commented, "we are extremely proud of the company we've helped build at Imperative. We have worked closely with the founding families of each of the companies that comprise Imperative, who all remain involved, and are looking forward to partnering with the founders of RSI. The combined company will more effectively serve their customers and create tremendous upside with their combined capabilities. We are excited to take Imperative into the next phase of growth by leading the investment with OEP to merge with RSI and will look to continue to consolidate the market."
"Hastings has been supportive and connected to our vision and approach to scale since the onset," said Ryan Havens of Imperative, who will now be leading the combined company as CEO. "We were excited to align with Hastings in 2014 and we are equally excited to continue that partnership. Together, we have transformed multiple founder-based companies into a formidable market player with Imperative. Built on a foundation of strategic and operational collaboration, we are excited to further building this legacy with an added partner in OEP and the inclusion of RSI, who is another great founder-based company."
"We're excited to partner with Hasting and OEP in a deal about driving new growth, improving asset leverage, increasing strategic flexibility, and achieving non-labor synergies," said Garrett Tucker, RSI's COO who will also lead the expanded business in that role. "This transaction will offer new internal opportunities to our current employees and create an attractive destination for those seeking opportunities in an organization well-positioned for market resiliency and continued success."
Locke Lord provided legal counsel, Piper Sandler provided financial advisory services, Forvis provided tax services, and Equity Risk Solutions provided insurance services to Hastings on the merger.
About Hastings Equity Partners
Founded in 2004, Hastings Equity Partners is a lower middle-market private equity firm. Hastings invests first institutional capital in North American founder-led companies within the industrial and business services sectors, where it has deep operating and investing experience. As a preferred capital partner, Hastings seeks to empower businesses to reach their full potential. For almost two decades, the firm has formed long-term partnerships with entrepreneurs while utilizing a hands-on approach to enhance operations, provide strategic support, and accelerate growth. For more information, visit http://www.hastingsequity.com
About One Equity Partners
One Equity Partners ("OEP") is a middle market private equity firm focused on the industrial, healthcare, and technology sectors in North America and Europe. The firm seeks to build market-leading companies by identifying and executing transformative business combinations. OEP is a trusted partner with a differentiated investment process, a broad and senior team, and an established track record generating long-term value for its partners. Since 2001, the firm has completed more than 300 transactions worldwide. OEP, founded in 2001, spun out of JP Morgan in 2015. The firm has offices in New York, Chicago, Frankfurt, and Amsterdam. For more information, visit http://www.oneequity.com
About Imperative Chemical Partners
Imperative Chemical Partners strives to set a new standard in chemical services with a focus on effective chemistries, reliable service, and proven program management—all coordinated and supported by an organization with the combined resources, experience, and expertise to deliver results. With over thirty service locations across Texas, New Mexico, Oklahoma, Illinois, North Dakota, and Colorado, Imperative has the capability to service major integrated production companies and transportation infrastructures yet maintains the flexibility and responsiveness to service independent operators. For more information, visit http://www.imperativechemicals.com
About RSI Chemicals
RSI delivers solutions formulated on proven chemistry and superior service that enhances production and protects assets. RSI provides a hands-on consultative approach based on decades of experience in the field. RSI offers a complete line of production chemicals including corrosion inhibitors, scale inhibitors, paraffin chemicals, surfactants, emulsion breakers, biocides, H2S scavengers, foaming agents and more. For more information, visit http://www.rsichem.com
Media Contact
Eliza McGrath, Hastings Equity Partners, 1 781-314-9599, [email protected]
SOURCE Hastings Equity Partners
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