Case Study:

Tri State Foam Products, Inc. - Recapitalization

Situation

• Tri State Foam Products, Inc., is a Martinsville, VA based manufacturer of expanded polystyrene foam with products ranging from protective packaging to building products applications.

Objective

• Matrix was retained by Tri State’s CEO to assist the company in evaluating its strategic options, which ranged from growth by acquisition to finding a strong financial partner that would provide the Company’s share holders with a significant liquidity event.

Solution

• Matrix reviewed Tri State’s options with the goal of finding a strategic or financial partner that would support the Company’s history of strong sales growth.
• Matrix decided the Company and its shareholders would be best served by partnering with a larger buyer.
• Matrix ran a broad process, contacting several buyers and receiving multiple Indications of Interest.
• Harbert was ultimately chosen as Tri State’s preferred partner based on chemistry with management, strong valuation, and a similar vision for growing the company.