Cleveland, OH – Key Principal Partners (KPP), a $1 billion private equity firm, announced today an investment of $5.1 million in senior subordinated debt, preferred equity and common equity in Xaloy Holdings, Inc. The investment was made to facilitate Xaloy’s acquisition of the Extrusion and Polymer Division (Extrusion) of Dynisco, LLC. Baird Capital Partners (BCP), a Chicago-based private equity firm, is the majority shareholder in Xaloy.
Xaloy, based in Pulaski, VA, is the world’s largest manufacturer of bimetallic barrels and feed screws for the plastics machinery industry. Extrusion is the leading US manufacturer of products that manage and control the quality and consistency of the flow of material in a plastic manufacturing process. Products manufactured by Extrusion include screen changers and melt pumps.
This marks the second investment in Xaloy for KPP. In March 2004, KPP invested $9.0 million to help BCP acquire Xaloy.
“We’re pleased to continue our relationship with Xaloy,” said Tim Fay, Managing Partner at KPP. “With the acquisition of Extrusion, we believe Xaloy is positioned to leverage its standing as the worldwide leader in supplying plastics OEMs with critical components.”
About Key Principal Partners
Key Principal Partners (KPP) is a nationally recognized private investment firm providing capital to middle market companies throughout North America. KPP utilizes mezzanine and equity capital to fund the growth, buyout, refinancing or acquisition of profitable companies. In addition, KPP provides liquidity to shareholders of privately held stock. Distinctively, KPP’s flexible approach to structuring investments does not require control of companies. KPP has approximately $1 billion in capital under management and can invest $5 million to $25 million in companies with at least $20 million in revenue. Headquartered in Cleveland, KPP is affiliated with KeyCorp, a $90 billion financial services firm and has offices in Boston, Greenwich and San Francisco. Visit us at www.keyprincipalpartners.com.