Vantage Specialty Chemicals acquires JEEN International Corporation
Overview
Vantage Specialty Chemicals, a commodity chemicals manufacturer, sought to expand its market presence into speciality chemicals by acquiring companies that manufactured speciality ingredients and blends for the personal care and cosmetic markets. They specifically aimed to diversify their portfolio and move away from commodity-driven products.
Challenges
The specialty chemical market is highly fragmented, with many small and mid-sized businesses. Our client faced three main challenges:
Target Identification: They needed to find acquisition targets that aligned with their strategy and was of sufficient size.
Nurturing Relationships: Building trust with potential sellers was key, as many were not immediately ready to engage in sale discussions and were not sure of the long term fit with a commodity chemical manufacturer.
Deal Negotiation: The client needed to be positioned as the ideal buyer to encourage successful negotiations.
Solution
Engaging our advisory services, the client benefited from a structured approach to market analysis and outreach:
Market Research: We identified over 200 high-potential targets that met the client’s criteria for growth, product fit, and scalability.
Target Engagement: Personalized outreach packages were sent, followed by a persistent yet professional calling campaign. Over 90% of the targets were reached, with many expressing curiosity despite initial reluctance to sell.
Deal Progression: Regular, meaningful communications over three years, including insights into potential market and tax changes, kept Vantage top of mind. The process culminated in creating a unique acquisition opportunity.
Outcome
Thanks to Valufinder’s patient, persistent and methodical approach, our client acquired JEEN International Corporation, a high-value business that fit their strategic goals, delivering both diversification and value growth.