News & Resources
SEATTLE, WA – Alexander Hutton is pleased to announce the acquisition of its client Diversified Plastics, Inc. by The Rubber Group, a portfolio company of River Associates Investments.
Diversified Plastics, Inc. (“Diversified Plastics”, “DPI”, or “the Company”) is a single-source manufacturer of plastic components, providing solutions to manufacturers and end users across a broad range of end markets, including leading national and global distributors. The Company has been acquired by The Rubber Group (“TRG”), a portfolio company of River Associates Investments (“River Associates”). TRG manufactures and distributes custom compression and injection molded rubber products. With the acquisition of Diversified Plastics, The Rubber Group enhances its manufacturing capabilities, broadens its material expertise, and expands its ability to deliver comprehensive, value-added solutions to customers across a wide range of applications and end markets.
Diversified Plastics, headquartered in Missoula, MT, was founded in 1976. The Company began in Rod Reid’s garage, as a supplier of engineered plastic wear strips to lumber and pulp mills in the Missoula area. Rod’s son, Brad Reid, later assumed leadership of the Company and expanded it to a team of almost 80 employees, offering comprehensive services to DPI’s customers from urethane casting, thermoforming, machining, and injection molding to design, engineering, and tool and die services.
DPI’s owners and management team look forward to partnering with The Rubber Group as the combination brings together complementary capabilities and shared values, positioning the Company to accelerate growth, expand its service offerings, and deliver an even broader range of solutions to customers. Commenting on working with Alexander Hutton, Brad Reid said, “Transactions are hard, with many twists and turns. The Alexander Hutton team ran the transaction while I was able to run the company. We couldn’t have done it without them.”
Regarding DPI’s acquisition, Alexander Hutton Managing Director James Thompson stated, “It was a real pleasure to work with Brad, Wendy and the entire Diversified Plastics team to find a partner that shares their vision for the future. We wish them all the best!”
Legal counsel for Diversified Plastics was Goodrich & Reely, PLLC. TRG & River Associates were represented by Holland & Knight, LLP. Terms of the transaction were not disclosed.
MORE ABOUT DIVERSIFIED PLASTICS, INC.
Founded in 1976 and headquartered in Missoula, MT, Diversified Plastics is a leading plastics manufacturer, combining the capabilities of fabrication, machining, injection molding, and polyurethane casting under one roof.
MORE ABOUT THE RUBBER GROUP
Founded in 1986 and headquartered in Rochester, NH, The Rubber Group manufactures and distributes custom compression and injection molded rubber products including grommets, bellows, bumpers, seals, and hoses.
MORE ABOUT RIVER ASSOCIATES INVESTMENTS
Founded in 1989 and headquartered in Chattanooga, TN, River Associates is a private equity firm that focuses exclusively on investing in the lower middle market and has served as a financial sponsor partner for management teams for over 30 years. River Associates is opportunistic as to industry and has invested in numerous manufacturers, high margin distributors, industrial service providers, and business service companies.
About Alexander Hutton
Led by a team of former business operators and executives who have built and sold companies, Alexander Hutton is a boutique, middle market M&A advisory firm that has completed 232 successful transactions. We offer a unique understanding of what it takes to run a business and an accessible team dedicated to client service. By running a high-touch, competitive transaction process for each of our clients, we are able to help them achieve their ideal outcome.