Amherst Partners Advises on Sale of Avatar Corporation

Amherst Partners, LLC (“Amherst”) is pleased to announce the sale of Avatar Corporation (“Avatar” or the “Company”) to Caldic B.V. (“Caldic”). Amherst acted as the exclusive financial advisor to Avatar in connection with the transaction.

About Avatar Corporation

Founded by Michael L. Shamie in 1982, Avatar’s product solutions and distribution activities serve the food industry, with a focus on bakery, meat, pet food, dairy and confectionary. The Chicago-based company offers products such as antioxidants and oils, as well as food processing aidsincluding high-performance release agents.

About the Transaction

The Company engaged Amherst Partners to pursue a value-maximizing sale process. Amherst’s comprehensive approach generated broad interest from prospective buyers that recognized Avatar’s distinct set of unique competitive advantages in the food ingredient/specialty chemical industry. During a time of economic and geopolitical turbulence, Amherst was able to keep buyers engaged and focused on the attractiveness of the investment opportunity, resulting in substantial interest from multiple buyers, both strategic and financial. Ultimately, the Company elected to pursue a transaction with Caldic, a firm with direct industry experience and a desire to support Avatar’s growth initiatives.

ArentFox Schiff LLP served as legal counsel and FGMK LLC provided services related to accounting and tax-related matters for Avatar.

Caldic B.V and Transaction Rationale

Caldic, backed by Advent International, develops, manufactures, and distributes customer-specific formulations and solutions for chemical and food markets. It offers base and specialty ingredients, API’s, intermediates, and excipients that are used in detergents and cleaners, personal care products, and pharmaceutical products, as well as a portfolio of industrial chemicals. With operations in 20 countries, Caldic was founded in 1970 and is headquartered in Rotterdam, Netherlands. For Caldic, the acquisition of Avatar (i) further strengthens its portfolio for the North American food industry, (ii) expands its value-add manufacturing capabilities for customized solutions, and (iii) adds additional infrastructure by way of on-site railroad access.

About Amherst Partners

With a track record that spans over 25 years, Amherst is one of the Midwest’s most reputable boutique investment banking advisory firms. Among its core services, Amherst provides middle-market and closely-held companies with significant financial advisory expertise for business divestitures, acquisitions, capital raises, and other corporate finance transactions. Our professionals share a commitment to developing a trusted advisor relationship with our clients and referral partners and have amassed an extraordinary track record of success, with over 450 domestic and cross-border transactions exceeding $20 billion in total transaction value. Securities-related transactions are offered through Amherst’s wholly owned subsidiary, One Amherst Partners LLC, a registered broker-dealer and member of FINRA and SIPC.  For more information, visit our website: https://www.amherstpartners.com and follow us on LinkedIn.