Case study

Creative Foam Corporation has been recapitalized by Industrial Opportunity Partners

Creative Foam Corporation has completed a recapitalization by Industrial Opportunity Partners (IOP) and existing shareholders and members of management.

Creative Foam is a manufacturer and supplier of custom engineered die cut, formed foam, non-woven, and multi-material component solutions to the automotive, medical, and wind energy markets. Headquartered in Fenton, Michigan, its 13 manufacturing facilities, two warehouses, and engineering center are located across North America, including in Michigan, Indiana, Colorado, Ohio, Tennessee, Florida, and Mexico, and feature over one million square feet of production space.

Through technical innovation, the company’s Automotive Division is focused on providing solutions to continually evolving vehicle issues primarily related to noise, vibration, or harshness along with sealing, airflow, or insulation concerns. Its Medical Division offers strong capabilities in radio frequency (RF) welding, which enables Creative Foam to deliver application solutions to consumable medical products such as sequential compression wraps, temperature regulating devices, and body comfort pads. With extensive capabilities in foam encapsulation, molding/coating, and in-house materials testing, the Medical Division also provides products and services for medical imaging applications, patient-positioners, and table pads. Lastly, through its Composites Division, Creative Foam is a market leader in the manufacture and kitting of cores for turbine blade construction for the wind energy market.

Based in Evanston, Illinois, IOP is a private equity investment firm. With US$910 million of committed capital since inception, the firm is focused on acquiring and managing middle-market manufacturing and value-added distribution businesses. The firm invests in companies with sales between US$30–350 million. IOP focuses on businesses with strong product, customer, and market positions, and provides management and operational resources to support sales and earnings growth at its businesses.

Creative Foam’s ownership included a broad shareholder base comprising members of the founding family, who in aggregate owned a significant portion of the company’s equity, with the balance consisting of employees, board members and outside shareholders.

Oaklins' team in Cleveland acted as exclusive financial advisor to Creative Foam in preparing the marketing materials, managing the sale process and due diligence, negotiations with potential buyers, selecting the final buyer and assisting until closing.

 

What our client said

David T. Swallow, President of Creative Foam Corporation, commented, “We truly appreciate the exceptional guidance the team provided to us throughout the transaction process. Their insight, market knowledge, attention to detail and relentless effort at every step of the process were of great benefit to us and were vital to the success of this transaction. We are excited to partner with IOP, whose knowledge and resources will enhance Creative Foam’s continued growth and ability to support our customers.”

Tombstone image for Creative Foam Corporation has been recapitalized by Industrial Opportunity Partners

Key deal contacts

Matthew J. Mueller

United States

Director

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Cory Frye

United States

Associate

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Michael C. Dean

United States

Associate

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