US-based private equity firm Wellspring Capital Management has completed the acquisition of stretch film manufacturer Paragon Films for an undisclosed amount.
Based in Broken Arrow, Oklahoma, Paragon offers 100% recyclable hand and machine stretch films for transit packaging distributors serving the food and beverage, consumer products, logistics and industrials end markets.
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.
“We are very excited to partner with the management team, led by Darin Tang, to support Paragon through its next phase of growth.”
International law firm McDermott Will & Emery served as legal counsel to Wellspring, while Rothschild acted as financial advisor and Kirkland & Ellis as legal counsel to Paragon with respect to the transaction.
Established in 1988, Paragon Films opened its second manufacturing plant in Taylorsville, North Carolina, in 2005, and the third plant in Union Gap, Washington, in 2013.
Paragon 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.”