A. Schulman Acquires Prime Colorants
U.S. plastics compounder and distributor A. Schulman has paid $15.1 million to acquire Prime Colorants, a manufacturer of custom colors and additive concentrates in Franklin, Tennessee, with around 50 employees and expected sales of some $12 million in 2012.
Schulman, which is based at Akron, Ohio, said the buy was part of its ongoing strategy to build up its custom color capabilities in the U.S. market, as well as part of plans to complete the shift from a commodities player to a business focused on niche products and services.
Color remains "an area of opportunity," and the acquisition will enable the Schulman to serve customers better by offering color expertise in an area of the country where it was not previously located, said CEO Joseph M. Gingo. "A. Schulman has maintained a strong working relationship with Prime Colorants for many years, and we believe their associates will be a good fit with our organization," Gingo added.
For 38 years, Prime Colorants has supplied pelletized color concentrates and dry powder color expertise to customers in the automotive and building industry. The takeover will give Schulman a point of entry for the liquid color market.
