DCL Corporation, an H.I.G. Capital Portfolio Company, Completes Acquisition of Sun Chemical’s Performance Pigments Plant in South Carolina

MIAMI – August 2, 2021 – H.I.G. Capital ("H.I.G."), a leading global alternative investment firm with $45 billion of equity capital under management, announced today that its portfolio company, DCL Corporation (“DCL” or the “Company”), a global leader in color pigments and dispersions for the coatings, plastics, and ink industries, has acquired Sun Chemical’s manufacturing facility in Goose Creek, South Carolina.

This acquisition includes the production and sales of the perylene and quinacridone product portfolios, along with select other specialty products. Perylenes and quinacridones are specialty pigment families providing the highest performance, especially high chromaticity, high durability, high heat stability and transparency for the most demanding applications, including the automotive, industrial coatings and engineered plastics markets. The acquisition closed on July 31, 2021. Adding this high-performance pigment portfolio and a US manufacturing base to DCL’s established platform and global operations is a complementary acquisition for DCL.

“We are excited about this acquisition, which is an excellent strategic fit for DCL. It expands our broad pigment portfolio with additional high-performance pigments, so DCL can bring more value to our customers,” says Chuck Herak, DCL’s Chief Executive Officer. He adds, “We are pleased to add the quality manufacturing facility at Goose Creek to our network, and we welcome these new employees to the DCL team.”

“We are pleased to support DCL’s acquisition of Sun Chemical’s plant in Goose Creek,” said John Von Bargen, Managing Director of H.I.G. Capital. “This acquisition further establishes DCL as a leading provider in the pigments industry and continues our strategy of acquiring complementary assets to expand DCL’s presence in the market. Additionally, this carve out transaction reinforces H.I.G.’s ability to complete transactions in complex situations.”

This acquisition represents DCL’s second add-on acquisition since H.I.G.’s investment in September 2016. DCL previously acquired LANSCO Colors in April 2018.

About DCL Corporation
Founded in 1926 and headquartered in Toronto, DCL is a leading and well-respected global pigment supplier across a wide range of industries and end markets. DCL serves over 1,500 customers in 75 countries worldwide, including the top global paint manufacturers. The Company supplies and services large, sophisticated customers utilizing products in highly demanding applications, including global automotive coatings, architectural coatings, specialty inks, and consumer & industrial plastics. The Company’s product offering includes a comprehensive portfolio of organic pigments, inorganic pigments and dispersions. For more information, please visit www.pigments.com.

About H.I.G. Capital
H.I.G. is a leading global private equity and alternative assets investment firm with $45 billion of equity capital under management.* Based in Miami, and with offices in New York, Boston, Chicago, Dallas, Los Angeles, San Francisco, and Atlanta in the U.S., as well as international affiliate offices in London, Hamburg, Madrid, Milan, Paris, Bogotá, Rio de Janeiro and São Paulo, H.I.G. specializes in providing both debt and equity capital to small and mid-sized companies, utilizing a flexible and operationally focused/ value-added approach:

1. H.I.G.’s equity funds invest in management buyouts, recapitalizations and corporate carve-outs of both profitable as well as underperforming manufacturing and service businesses.
2. H.I.G.’s debt funds invest in senior, unitranche and junior debt financing to companies across the size spectrum, both on a primary (direct origination) basis, as well as in the secondary markets. H.I.G. is also a leading CLO manager, through its WhiteHorse family of vehicles, and manages a publicly traded BDC, WhiteHorse Finance.
3. H.I.G.’s real estate funds invest in value-added properties, which can benefit from improved asset management practices.
4. H.I.G. Infrastructure focuses on making value-add and core plus investments in the infrastructure sector.

Since its founding in 1993, H.I.G. has invested in and managed more than 300 companies worldwide. The firm's current portfolio includes more than 100 companies with combined sales in excess of $30 billion. For more information, please refer to the H.I.G. website at www.higcapital.com.

* Based on total capital commitments to funds managed by H.I.G. Capital and its affiliates.