AE Industrial Partners Completes Sale of American Pacific Corp. to NewMarket Corp. for $700 million
BOCA RATON, Fla. – AE Industrial Partners, LP (“AEI”), a private equity firm specializing in Aerospace, National Security, and Industrial Services, today announced that affiliates of AEI have completed the sale of American Pacific Corporation (“American Pacific” or the “Company”), a leading specialty materials manufacturer of critical chemicals for some of the U.S. Government’s most vital military and space programs, to NewMarket Corporation (NYSE: NEU) for $700 million in cash.
“It has been gratifying to help the Company strengthen its leadership position and support of customers while delivering a positive outcome for our investors. We wish the American Pacific team continued success as they move forward to their next stage.”
Founded in 1955, American Pacific produces highly specialized chemicals through proprietary processes for use in missile defense, space launch, pharmaceutical, and fire suppression applications. The Company, based in Cedar City, Utah, produces performance additives utilized in solid rocket motors for use in space launch and military defense. American Pacific is qualified to work on several NASA and Department of Defense programs, serving these organizations for over 60 years. American Pacific also manufactures Halotron BrX, a clean and environmentally friendly fire extinguishing agent that replaces existing legacy high ozone-depleting fire extinguishing solutions.
“Since investing in American Pacific in 2020, we have worked with the management team to support their growth strategy and their mission to deliver critical solutions that empower U.S. national security and space exploration,” said Kirk Konert, Managing Partner at AEI. “It has been gratifying to help the Company strengthen its leadership position and support of customers while delivering a positive outcome for our investors. We wish the American Pacific team continued success as they move forward to their next stage.”
“AEI has been a first-rate investment partner to our business over the past three years, providing pivotal guidance, industry knowledge and resources that have helped us continue our growth trajectory and evolve our offerings,” said Hal Murdock, CEO of American Pacific. “As we open our next chapter, we are excited about what we have been able to achieve together.”
Guggenheim Securities, LLC and 3Wire Partners served as financial advisors, and Kirkland & Ellis LLP served as legal advisor to AEI on the transaction.
About AE Industrial Partners
AE Industrial Partners is a private investment firm with $5.4 billion of assets under management focused on highly specialized markets including Aerospace, National Security, and Industrial Services. AE Industrial Partners has completed more than 130 investments in market-leading companies that benefit from its deep industry knowledge, operating experience, and network of relationships across the sectors where the firm invests. With a commitment to driving value creation in partnership with the management teams of its portfolio companies, AE Industrial Partners primarily invests across private equity, venture capital (AEI HorizonX), and aerospace leasing. For more information, please visit www.aeroequity.com.
About American Pacific Corporation
Founded in 1955, American Pacific Corporation is a leading specialty materials manufacturer of critical chemicals for some of the U.S. Government’s most vital military and space programs, and clean fire extinguishing agents for the fire protection industry. America Pacific produces highly technical materials through proprietary processes for use in missile defense, space launch, and fire suppression applications. We have built a world-class reputation for reliability and quality in markets where failure is not an option. The Company operates out of a state-of-the-art manufacturing facility based in Cedar City, Utah.
