By John McPhaul, The Chicago Times
August 3, 2022
NEW YORK – Investment firm Kohlberg Kravis Roberts & Co announced Tuesday an agreement to sell Minnesota Rubber and Plastics to Trelleborg Group for $950 million.
KKR purchased MRP, a leader in engineered polymer solutions, in November 2018 and ushered in an employee ownership program which has driven MRP to outperform in its industry. KKR also invested in the construction of MRP’s new global innovation center which contributed to safety improvements, waste reduction, and earning growth.
MRP employees, some 1,400, across six countries and four US states will receive cash payouts upon closing of the transaction. Payouts will be based on tenure and employment status.
“I am proud to have worked alongside MRP colleagues who have contributed in so many ways to the Company’s performance. Together we have been able to deliver the fantastic results that made this sale possible. This is a great outcome for all employee owners and our limited partners in KKR’s Americas XII Fund.” said Josh Weisenbeck, Partner at KKR.
“MRP shows the power of building an ownership culture, something we believe many more companies can replicate, and the potential of the shared ownership movement. Trelleborg is a great cultural fit for MRP and the ideal strategic partner. As part of Trelleborg, MRP will continue to be an employee-centric organization with exciting opportunities for continued innovation and global growth.” said Pete Stavros, Co-Head of Americas Private Equity at KKR.
MRP management is expected to be retained to operate the company under Trelleborg’s ownership.