Windjammer Acquires MFG Chemical in Strategic Specialty Chemicals Play

NEWPORT BEACH, CA – January 06, 2026 – In a move that underscores private equity's continued appetite for specialized industrial assets, Windjammer Capital has announced its acquisition of MFG Chemical, a Chattanooga, Tennessee-based manufacturer of complex specialty chemicals. The transaction, for which financial terms were not disclosed, sees Windjammer acquiring the company from its previous private equity owner, Platte River Equity.

The acquisition positions MFG Chemical, a company with over four decades of history, to embark on a new phase of expansion. Windjammer plans to inject capital to enhance operational excellence, accelerate product development, and pursue strategic add-on acquisitions, leveraging MFG's established expertise in high-demand sectors like water treatment and industrial coatings.

A Strategic Play in a High-Value Market

Windjammer's investment in MFG Chemical is a calculated entry into the resilient and high-margin specialty chemicals sector. The move aligns perfectly with the private equity firm's stated strategy of partnering with "engineering and material science driven niche market leaders that provide mission-critical products and services," as noted by Managing Director Rob Quandt. MFG's proficiency in custom formulation for critical applications makes it an attractive platform in a market prized for its innovation and defensible positioning.

While the deal's value remains confidential, the context of the specialty chemicals M&A landscape suggests a significant investment. The sector has shown remarkable resilience, with deal values in the first half of 2023 surpassing historical averages. Valuation multiples, though down from recent peaks, remain robust and well above pre-pandemic levels, reflecting strong investor confidence. Private equity firms have been particularly active, employing "buy-and-build" strategies to consolidate market share and drive growth in high-value niches. Windjammer's acquisition of MFG appears to be a classic example of this thesis, targeting a well-established player with a solid foundation for scalable growth.

"MFG Chemical is highly aligned with Windjammer’s strategy," said Rob Quandt. "The company’s differentiated formulation capabilities and strong customer relationships provide a solid foundation for long-term growth." This sentiment was echoed by Greg Bondick, Managing Principal at Windjammer, who highlighted MFG's ability to develop complex chemistries as a key attraction.

Fueling Growth for a 40-Year-Old Innovator

Founded in 1980, MFG Chemical has evolved from a regional supplier for the carpet industry into a sophisticated developer of polymers, surfactants, and other specialty chemicals. The company is known for its flexible manufacturing capabilities and a collaborative, solutions-oriented approach that has fostered long-standing customer relationships.

This new partnership with Windjammer is poised to act as a powerful growth catalyst. The investment will enable MFG to expand its reach within its core end markets, which are themselves experiencing significant tailwinds. The global water treatment chemicals market is projected to grow steadily, driven by increasing water scarcity, rapid industrialization, and stringent environmental regulations that demand more advanced and efficient chemical solutions. Similarly, the industrial coatings sector is being reshaped by a push for sustainability, with strong demand for low-VOC (volatile organic compound) and waterborne coatings in the automotive, construction, and infrastructure industries.

MFG's leadership expressed optimism about the new chapter. "We are excited to partner with Windjammer as we build on MFG’s more than four decades of history," said Paul Turgeon, Chief Executive Officer of MFG Chemical. "Windjammer’s experience scaling industrial manufacturing businesses and their collaborative approach make them an ideal partner as we continue to invest in our people, expand our capabilities, and serve our customers."

The Private Equity Blueprint: Efficiency, Expansion, and Evolution

The acquisition of a middle-market industrial company like MFG by a firm such as Windjammer typically signals a period of strategic transformation. Private equity ownership often brings a rigorous focus on operational efficiency, cost management, and accelerated growth. This can involve significant changes in leadership, management practices, and workplace culture as the new owners implement their value-creation playbook.

While such transitions can create uncertainty for employees, they also bring substantial resources for investment in technology, talent, and market expansion that may have been previously out of reach. Studies on private equity takeovers indicate that they can lead to workforce adjustments as operations are streamlined. However, the stated goal of Windjammer's investment is growth, which includes expanding MFG's portfolio and pursuing strategic acquisitions—a strategy that could ultimately lead to a larger, more robust organization.

Notably, MFG Chemical's previous owners, the Gavin family, were reported to have prioritized preserving the company's employee-centric culture during past transitions. This legacy may influence the integration process under Windjammer, which has emphasized a "collaborative approach" in its partnership with the existing management team.

Navigating a Shifting Regulatory and Innovation Landscape

MFG Chemical's future growth will unfold against a backdrop of profound change within the global chemical industry. Two dominant forces—sustainability and regulation—are creating both challenges and immense opportunities. The market is increasingly demanding green chemistry, bio-based alternatives, and manufacturing processes that minimize environmental impact. For a formulator like MFG, this trend represents a significant opportunity to innovate and capture market share with eco-friendly products for its water treatment and coatings clients.

Simultaneously, the regulatory environment is becoming more complex. Stricter rules under the Toxic Substances Control Act (TSCA) in the United States and the REACH regulation in Europe are placing greater scrutiny on chemical safety and composition. Navigating this landscape requires significant investment in research, development, and compliance. With the backing of a well-capitalized partner like Windjammer, MFG Chemical is better positioned to meet these regulatory demands and turn them into a competitive advantage by developing next-generation products that are both effective and compliant.

The infusion of capital and strategic oversight from Windjammer will likely empower MFG to not only adapt to these industry shifts but to lead within its niche, leveraging its technical expertise to solve the complex chemical challenges of the future.