Boxwood Partners advises on sale of Dualam Plastics to ZCL Composites

Boxwood Partners advises on the sale of Dualam Plastics to ZCL Composites. 

RICHMOND, VA (January 19, 2010) – Boxwood Partners, LLC is pleased to announce the strategic sale of Dualam Plastics, Inc. to ZCL Composites, Inc. (TSX: ZCL). ZCL has entered into a share purchase agreement to acquire all of the outstanding shares of Dualam. Summary terms of the transaction were disclosed separately in a press release by ZCL, and include cash, stock, and earnout consideration along with the assumption of certain long-term debt liabilities. Boxwood Partners advised Dualam with respect to the transaction. 

Based in Montreal, Canada, Dualam Plastics, Inc. is the leading manufacturer and field service installation provider of custom engineered fiberglass reinforced plastic (FRP) and dual-laminate composite products for use in corrosion-resistant applications primarily for the chemical manufacturing, power generation, and mining industries, amongst others. Dualam’s two primary operating divisions are CPF Dualam and Troy Manufacturing. Operating eight geographically diverse manufacturing and field service facilities in Canada and the U.S., Dualam provides turn-key product installation, field maintenance, and refurbishment services. The company is well-known for superior quality, performance, and customer satisfaction. 

Bobby Morris, Managing Director at Boxwood said, “Dualam has grown significantly over the last five years; a real testament to its people, products, and expertise. This is Boxwood’s second transaction in the FRP composite materials space over the last 18 months, and Dualam has clearly established itself as a market leader. Paul Habib and his team have done a great job.” 

“We are very pleased to have found a company in ZCL that shares our goals and vision,” said Paul Habib, Chairman and CEO of Dualam, “and are looking forward to working together with them to capitalize on the many significant opportunities in the corrosion and related markets.” 


About Dualam Plastics, Inc.: 

Dualam has been a leader in the field of corrosion resistant products since 1957. CPF Dualam was the first company in the thermoplastic composites industry to develop and use the dual-laminated fabrication procedure for a whole array of corrosion-resistant products and equipment. Today, the Dualam® method is used to manufacture corrosion-resistant products from simple tanks to complex process scrubbers and towers. CPF Dualam has acquired a strong reputation as a highly reliable process equipment manufacturer and field service provider, and the company continues to innovate by introducing new materials and processes as well as by introducing cutting-edge design and engineering methods. 


About ZCL Composites, Inc.: 

Established in 1987, ZCL has grown to become Canada’s leading designer, manufacturer and supplier of cost-effective fiberglass tank systems to the petroleum industry. An unrelenting drive to manufacture superior fiberglass tanks that “simply will not corrode” has made ZCL the preferred choice in many industrial and retail sectors. Fiberglass is an ideal material for constructing tanks because it is noncorrosive and carries less risk of leakage. The company’s primary customers are oil and gas companies in the U.S. and Canada, though water and wastewater treatment is also a large market. ZCL has combined with its divisions and subsidiaries to provide customers with the only positive, proactive, comprehensive and cost effective liquid storage containment solution. 


About Boxwood Partners, LLC: 

Boxwood Partners, LLC (www.boxwoodpartnersllc.com), together with its affiliate Boxwood Capital Partners, is a merchant banking firm based in Richmond, Virginia. Boxwood Partners combines a unique blend of senior-level transaction advisory, business operating experience, and proven process execution skills to give its clients a distinct advantage in the market. The firm’s extensive relationships within the global finance communities (including U.S. and international private equity groups, corporations, hedge funds, and lenders) and other important transaction-related service providers such as consultants, attorneys, and accountants ensure that the firm’s clients receive the attention, service, and results they deserve. 

Contact: J. Patrick Galleher
Phone: (804) 343-3441
pgalleher@boxwoodpartnersllc.com

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