Gronau — The pan-European investment company Active Capital Company (ACC) invests in brocolor LACKFABRIK GmbH as well as brocolor Immobilien GmbH (Brocolor). The German company Brocolor, based in Gronau, is considered a chemical expert in the field of paints, primers, coatings, adhesives and other chemical products. With this platform investment, ACC continues its growth in Germany, benefiting from its hands-on investment approach and strong track record of investing in chemical companies. The international transaction was accompanied by Marktlink.
Expansion of international customer business and further focus on sustainability
To meet demand from existing and future customers, Brocolor has expanded its warehouse in 2019 and plans to significantly increase production capacity in the near term. The strategic growth plan provides for an expansion of the high-quality contract manufacturing offering.
Hartwig Ostermeyer (Photo © ACC), Partner at ACC: “We are impressed with Brocolor’s R&D capabilities and process know-how, which are clear differentiators from traditional contract manufacturers. Brocolor is a valuable development partner to its diverse customer base and we look forward to supporting the company as it continues to grow. Brocolor is a specialized market leader with the highest environmental, social and governance standards and we intend to offer its services to other leading international chemical companies.”
Successful transaction consulting by Marktlink brought the right partners together
The acquisition was also made possible by advice from Marktlink. “This latest transaction highlights the increasing internationalization of the M&A market, which Marktlink is actively responding to through its international network,” said Tom Beltman of Marktlink. “The market approach for this acquisition was deliberately kept small to reflect Brocolor’s highly specific business knowledge and international customer base. Both strategists and financial investors showed interest, but ultimately ACC’s future plans proved most compatible with the vision of Brocolor’s shareholders.”
About Brocolor
Brocolor, based in Gronau, Germany, began as a paint wholesaler in 1921 and was acquired by the current seller in 2002. The core competence lies in the contract manufacturing of paints, primers, adhesives, coatings and other chemical products. Brocolor’s research and development team is continuously working on the introduction of new technologies and the chemical development of formulations and processes to improve the quality of current and new products. As a result, the company has accumulated a significant base of know-how and operational expertise, meeting the latest and expected regulations in the chemical industry. www.brocolor.de
About Active Capital Company
ACC is an independent, hands-on private equity investor focused on small and medium-sized companies in the Netherlands and Germany. ACC invests in companies operating in the industrial, technical wholesale and business services sectors with sales of between €10 million and €100 million. Through a highly entrepreneurial and proactive approach, ACC maximizes the long-term value of its investments by supporting management in the execution of value-added projects and providing access to its extensive partner network. ACC is currently investing from its fourth fund and began operations in Germany in 2019 with its investment in and successful transformation of SchahlLED Lighting. ACC has also been invested in Werner Lieb GmbH (www.werner-lieb.de) since May 2022. ACC has offices in Amsterdam and Munich. www.activecapitalcompany.com
About Marketlink
Since 1996, Marktlink has grown to become the largest independent acquisition specialist in the upper mid-market segment of the Benelux. A team of more than 200 internal M&A specialists supports (inter)national companies with a transaction value of 5 to 250 million euros. With a widespread European network of offices in Germany, Belgium, the UK, Denmark and the Netherlands, and an extensive network of buyers and sellers, Marktlink has already successfully completed 150 transactions in 2022. www.marktlink.com .