ONCAP Acquires Walter Surface Technologies

ONCAP (Toronto, ON), the mid-market private equity platform of Onex Corporation, has purchased a majority stake in Walter Surface Technologies (Montreal, QC), in partnership with the existing management team. The Walter Group will retain a minority interest in the company, which is a leading provider of innovative systems for the metalworking industry, including abrasives, tooling, power tools, chemical solutions and welding process solutions. They sell to a diverse array of end markets, including metal fabrication, transportation, construction, energy, mining, forestry and lumber, food and pharmaceuticals. The company was founded in 1952 by Walter Somers and, over the past 30 years, his son Pierre Somers led their international expansion.

“Walter is committed to creating the best performing products and offering innovative, safe, user-friendly and environmentally conscious solutions to its customers,” said Gregory Baylin, a managing director with ONCAP. “Their dedication to excellence and strong workforce are what attracted us to the business. We’re thrilled to partner with the management team and the founding family to build upon the entrepreneurial spirit and vision Walter and Pierre Somers created.”

“ONCAP’s Canadian roots and outstanding investment track record make them an ideal partner for us,” noted Marc-André Aubé, the newly appointed chief executive officer of Walter. “Together, we’ll continue to focus on providing the best solutions to our customers to improve their productivity and make their jobs easier and safer. ONCAP’s support will help us grow both organically and through strategic add-on acquisitions.”

“This transaction is the logical step to take Walter to new and exciting heights. They are in great hands with Marc-André and the management team we’ve worked hard to build,” added Pierre Somers, the retiring chairman and chief executive officer of Walter and the chairman and chief executive officer of Walter Group. “We’re excited to remain a minority shareholder and watch their growth during this next chapter. The Walter Group will now turn its focus to expanding our investing activities.”

The investment was made by ONCAP IV, Onex’s $1.1 billion fund. The terms of the transaction are not being disclosed.

www.walter.com