CLEVELAND, July 1, 2024
/PRNewswire/ -- Austin Powder (the "Company" or "Austin"), a leading provider of industrial
explosives and engineered blasting solutions, announced today that
it has received a strategic investment from American Industrial
Partners ("AIP") to support and enhance the Company's growth
strategy in partnership with Austin's existing long term ownership group
and management team.
Operating in a safety critical and technical industry, Austin
Powder has nearly 200 years of industry expertise that has enabled
it to build a suite of integrated products and services for the
blasting process. The Company has only had four owners in its
history, and the current ownership and management team has
successfully expanded Austin over
the past 40 years into a leading global operator. AIP's financial
and operational support and resources will help position Austin
Powder for continued growth and success over the next decade.
"We had been deliberately seeking an investor that would expand
our ability to provide world-class explosive products and services,
accelerate innovations, facilitate expansion into new territories,
and preserve our heritage and unique culture. Equally important was
finding a partner that shared our values of safety, customer
service, family and respect," said Austin Powder President and CEO
John D. Rathbun. "We believe
American Industrial Partners is an ideal partner for Austin as we move forward. We look forward to
working with the AIP team as we continue to grow and differentiate
our business globally. The partnership with AIP will support our
efforts to continue to earn the privilege to serve our
customers."
"Austin Powder's unique heritage and inspiring culture has
stewarded the business to great heights while maintaining a strong
core of safety, customer focus and family. We look forward to
building upon Austin Powder's tremendous legacy, investing in the
growth opportunity ahead of us, and enabling the company to
continue delivering on its worthy and important mission," said AIP
Partner Justin Fish. "We look forward to partnering closely with
the Austin Powder management team and the family of shareholders to
chart the company's third century of growth and success."
Financial terms of the transaction were not disclosed. J.P.
Morgan Securities LLC and KeyBanc Capital Markets, Inc. acted as
financial advisors to the Company. Ropes & Gray LLP and Baker
Botts LLC acted as legal advisors to AIP. Jones Day acted as legal advisor to Austin
Powder.
About Austin Powder
Founded in 1833, Austin
Powder is a leader in the manufacture, distribution, and
application of industrial explosives for quarrying, surface mining,
underground mining, oil and gas, seismic, and construction markets.
The company's mission is to improve the world we live in through
the safe and responsible use of explosives. Austin Powder provides
a broad range of highly engineered solutions all of which are
developed to advance the safety, reliability, and efficiency of
breaking rock. It has more than 4,800 employees and operations in
27 countries around the world. www.austinpowder.com
About American Industrial Partners
American
Industrial Partners ("AIP") is a global industrials investor, with
approximately $16 billion in assets
under management. AIP is distinctively focused on industrial
businesses across a broad range of end markets that include:
aerospace and defense, automotive, building products, capital
goods, chemicals, industrial services, industrial technology,
logistics, metals & mining, and transportation, among others.
AIP looks to generate differentiated returns by investing in
quality industrial businesses with strong management teams and
working with those teams to implement comprehensive operating
agendas to build long-term value. Current AIP portfolio companies
generate aggregate annual revenues of approximately $25 billion and employ approximately 65,000
employees as of March 31, 2024. In
October 2023, AIP closed its eighth
fund at $5.1 billion.
www.americanindustrial.com
Contact:
Austin Powder,
ContactAustin@AustinPowder.com
American Industrial
Partners, pro-AIP@prosek.com
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SOURCE American Industrial Partners