New York-based Wellspring Capital Management has acquired high-performance stretch film manufacturer, Paragon Films, for an undisclosed sum.
Based in Broken Arrow of Oklahoma, Paragon Films manufactures high-performance stretch films for transit packaging distributors in the food and beverage, consumer products, logistics and industrial end markets.
Paragon Films, established in 1988, produces different premium quality, 100% recyclable hand and machine stretch films that provide advanced load containment and puncture resistance to packaging distributors and end users.
Paragon Films CEO Darin Tang said: “We are very excited to partner with Wellspring given the firm’s history of building successful businesses, particularly in the packaging sector. We are extremely proud of what our management team has accomplished and look forward to working with Wellspring to build on Paragon’s historical success.”
The company’s product portfolio is comprised of hand films, machine films and specialty films.
Torque is a sensitive hand film for maximum unitization and its ultra-thin gauge reduces packaging material consumption and costs. Spartan hand film is a specially formulated resin composition that offers better puncture and load-holding force.
Nexus, Ultimate Force and Global Force are different types of machine films that provide better unionization, improved load integrity and cost efficiency pallet after pallet.
The company offers specialty film products in a variety of sizes, thickness and formulations. PET bottle film is a five-layer product produced using enhanced polyethylene resin and specifically designed for use in the container industry.
Cold Force is a puncture-resistant stretch film designed for maximum load containment and better adhesive strength in cold environments.
Wellspring managing partner John Morningstar said: “Our partnership with Paragon represents an exciting opportunity to build on Wellspring’s track record in the packaging space. The Company has an impressive reputation as one of North America’s premier stretch film manufacturers by offering customers a superior product coupled with tangible cost savings.”
Since 1995, Wellspring has raised more than $4bn of initial capital commitments via six private equity funds.
The company has invested in more than 35 platform investments across various segments of the US and global economies over the past 20 years.