DETROIT, July 11, 2012 /PRNewswire/ -- Huron Capital announced today that it has sold its interest in Labstat International ULC ("Labstat" or the "Company") through its holding company, Apex Laboratories International, Inc., in a transaction that returned over 6 times its original investment. Apex was recapitalized by Alaris Royalty Corp., a Canadian private investment firm, and Labstat management. Huron's 2006 investment in Labstat and Apex was made through its second fund, The Huron Fund II L.P., a $185,000,000 fund closed in 2005. KPMG Corporate Finance advised Labstat on the transaction and Honigman, Miller, Schwartz and Cohn served as counsel.
Based in Kitchener, Ontario, Labstat provides chemistry and toxicology testing services to global tobacco manufacturers for both regulatory and commercial purposes. Labstat facilitates the regulation of tobacco products by providing analytical testing services to governmental agencies involved in tobacco control and to market participants needing to comply with mandatory reporting requirements. Specifically, Labstat is the leading independent laboratory measuring chemical emissions from tobacco smoke and smokeless tobacco products, and testing for the biological impact of such products.
In 2006, Huron partnered with Dr. William Rickert (CEO) and other members of Labstat's management team to recapitalize the business. During Huron's hold period, the team further developed its non-regulatory business, developed several new customer relationships on a global basis, and positioned the Company to capitalize on new governmental tobacco control initiatives in the United States that are driving continued growth of the business.
Nick Barker, Vice President at Huron Capital, commented, "Labstat was a tremendous success for Huron Capital. The investment was consistent with Huron's focus on partnering with management teams in businesses that are leaders in their markets and positioned for growth. We are grateful for the collaboration with Dr. Rickert and his team over the last five years, and we hope to continue our track record of partnering with world-class executives and their companies in the years to come."
About Huron Capital Partners LLC
Huron Capital is one of the leading operationally-focused private equity firms investing in lower middle-market companies. The firm invests up to $70 million to sponsor buyouts, growth initiatives, corporate spin-offs and recapitalizations of niche manufacturing, specialty service, and value-added distribution companies having revenues up to $300 million. Huron seeks opportunities where it can help companies reach their full potential by combining its operational approach, capital and transaction experience with proven operating executives who have the vision, experience, and commitment to grow their businesses.
Founded in 1999, Huron has acquired or invested in 58 companies with aggregate revenues approaching $1 billion. Investments have been made in the USA and Canada in a variety of areas, including document management, education, healthcare products & services, specialty chemicals, specialty packaging, consumer products and apparel, home decor, engineering services, food and beverages, office furniture components and laboratory testing. Huron Capital has raised over $600 million in committed equity through three private equity funds, and has offices based in Detroit and Toronto. The firm has consistently generated top-quartile returns for its limited partners. For more information, visit www.huroncapital.com.
SOURCE Huron Capital Partners LLC