New Investment Positions Leading Manufacturer for Excellerated Growth in Packaging Market
NEW YORK – April 11, 2018 – One Equity Partners (“OEP“), a leading middle market private equity firm, today announced the completion of its acquisition of ePak Resources (“ePak“ or “the Company“), a designer and manufacturer of precision-engineered packaging for semiconductor, integrated circuits (“ICs“) and electronic components. While financial terms of the private transaction were not disclosed, management will continue to own a significant stake in the Company.
Headquartered in Austin, Texas, ePak makes high quality wafer and IC handling and packaging products such as boxes, canisters, containers, trays and related products for storage and transport of highly sensitive electronic products used by many of the world’s leading technology and consumer electronics businesses. Founded in 1999, ePak operates a 600,000 square foot manufacturing facility in Shenzhen, China, along with 40 warehouses and nine sales offices worldwide, and has 1,160 employees.
“ePak’s high quality products have enabled it to become a primary supplier to more than 300 businesses that rely on its advanced packing materials for their complete handling needs during the front end semiconductor fabrication process, and safe transport of IC products at the back end,” said Andrew Oliver, Managing Director, OEP. “We are excited to have identified several acquisition opportunities with CEO Steve Dezso and his management team to further strengthen the Company’s product portfolio, geographic footprint and customer base.”
ePak’s target customer sector continues to grow, with annual silicon wafer shipments increasing for the fourth year in a row through 2017 as semiconductor demand from original equipment manufacturers, automotive and consumer electronic businesses remained strong. Worldwide wafer shipments increased by 10 percent in 2017 over 2016, while worldwide sales of silicon grew by 21 percent to $8.7 billion over $7.2 billion in 2016.
“OEP’s long track record of partnering with management teams to improve operating efficiencies and drive growth through strategic transactions is well aligned with our vision for growing ePak into an unparalleled market leader in the innovative packing solutions market,” said Steve Dezso, President and CEO of ePak. “Today is an exciting milestone in ePak’s continued evolution, and we look forward to working closer with OEP to further consolidate the fragmented packaging market and gaining additional share as the Company enters its next stage of growth.”
OEP has more than a decade of experience investing in and growing global packaging businesses, and a deep understanding of technology businesses including the semiconductor industry. In October 2017, the firm completed its investment in Sanken North America, a subsidiary of Japan’s Sanken Electric Company, Ltd. that owns Allegro MicroSystems, LLC (“Allegro”) and Polar Semiconductor, LLC (“Polar”). Allegro manufactures high-performance sensors and related devices, while Polar is a manufacturer of silicon wafers.
About One Equity Partners
OEP is a middle-market private equity firm focused on the industrial, healthcare, and technology sectors in North America and Europe. The firm builds market-leading companies by identifying and executing transformative business combinations. OEP is a trusted partner with a differentiated investment process, a broad and senior team, and an extensive track record generating long-term value for its partners. Since 2001, the firm has completed more than 150 transactions worldwide. OEP, founded in 2001, spun out of JP Morgan in 2015. The firm has offices in New York, Chicago, and Frankfurt. For more information, please visit www.oneequity.com.
About ePak Resources
Established in 1999 by a team of semiconductor industry veterans, ePAK is a full-service designer, manufacturer and supplier of precision engineered products and solutions for the automated transport and handling of semiconductor and electronic devices. Our product areas include front-end wafer handling, back-end IC transport, and end-system sub-assembly handling. Our products are sold globally to top tier global customers including semiconductor companies, system OEMs, and IC assembly and test operations. Our large-scale manufacturing and design center in Shenzhen, China is centrally located to the semiconductor industry's back-end activities and supports a global network of JIT distribution centers. ePAK's corporate headquarters is located in Austin, Texas and we maintain nine sales and applications engineering offices worldwide. For more information, please visit www.epak.com.
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