Lone Star Funds has signed a definitive agreement through its affiliate, Lone Star Fund XI, LP, to sell AOC, a global leader in specialty chemicals, to Nippon Paint Holdings Co., Ltd. (NPHD).
AOC, a prominent manufacturer of specialty chemical formulations, specializes in unsaturated polyester and vinyl ester products. With operations spanning North America, Europe, and Asia, AOC provides solutions to clients worldwide in sectors including infrastructure, construction (both residential and commercial), transportation, and recreation.
During Lone Star’s ownership, AOC prioritized investments in core business functions such as commercial excellence, innovation, procurement, and manufacturing efficiency. Additionally, Lone Star supported the expansion of AOC’s executive leadership team, enhancing the company’s capacity to operate its global business effectively. AOC now stands ready for its next phase of growth, backed by a robust asset base and a world-class management team.
“We are immensely proud of the growth and innovation AOC has achieved under our ownership,” said Donald Quintin, Chief Executive Officer of Lone Star. “The strong management team at AOC has driven the company’s success and created significant value. We believe AOC is well-positioned for future growth, and we wish the team continued success.”
AOC’s Chief Executive Officer, Joe Salley, expressed gratitude for Lone Star’s partnership. “I would like to thank Lone Star for their support over the past three years, as well as our dedicated management team and employees for consistently delivering top results for our customers and shareholders. We are excited about the future as we join the Nippon Paint Group, a company that shares our commitment to integrity, quality, and innovation.”
The transaction is subject to regulatory approvals and is anticipated to close in the first half of 2025. Financial advisors Morgan Stanley & Co. LLC and Citi, along with legal advisors Gibson, Dunn & Crutcher LLP, advised the seller, while AOC Management received guidance from Jamieson Corporate Finance and Katzke & Morgenbesser LLP.
About AOC
AOC is a leading global provider of specialty formulations and solutions for applications in Coatings and Protective Barriers, Colorants and Visual Effects, Adhesives and Specialties, and conventional Composites. With strong capabilities in manufacturing and science, AOC partners closely with customers to deliver unmatched quality, reliability, and innovative solutions.
About Lone Star
Lone Star Funds is a prominent private equity firm advising funds with global investments in corporate equity, credit, real estate, and other financial assets. Since 1995, Lone Star has established 25 private equity funds with commitments totaling approximately $95 billion. Lone Star’s investors include institutional entities such as pension funds, sovereign wealth funds, foundations, and endowments that support medical research, higher education, and philanthropic causes. Visit www.lonestarfunds.com for more information.
