New York-based private equity firm New Mountain Capital LLC has agreed to acquire maintenance and cleaning chemicals manufacturer Zep Inc. (NYSE: ZEP), Atlanta, GA, for $692 million.
John K. Morgan, president and CEO of Zep Inc. said the transaction will allow the company to "continue to deliver the high quality products and services our customers have come to expect from us as well as provide additional opportunities for our associates from future growth and business building."
Zep Inc. reported sales for the fiscal second quarter, ended Feb. 28, of $160.1 million, up 1.5 percent compared to the same period the previous year. Net income for the quarter was $162 thousand, compared to a loss of $682 thousand in the second quarter of 2014.
For the six month period ending Feb. 28, sales were $328.4 million, up 1.8 percent year-over-year. Net income for the period was $3.3 million, up 36.7 percent.