Quinpario prices IPO for specialty chemical buyout vehicle

16:19 PM | August 9, 2013 | Robert Westervelt

Quinpario Acquisition (St. Louis), a blank check acquisition vehicle led by former Solutia executives to purchase specialty chemicals and materials businesses, has priced a planned initial public offering to raise $150 million. Quinpario expects the IPO to be completed by the middle of next week, a spokesperson says. Quinpario's chairman and CEO is Jeff Quinn, former CEO of Solutia, and management includes five other senior Solutia executives.

Quinpario will target specialty chemical and performance materials companies with an enterprise value of $300 million-$1 billion, according to the prospectus. The company says it may “consider those sectors that complement our management team’s background, such as composites and carbon fibers, filtration and biomaterials, alternative energy and storage, specialty films and packaging, ceramics and inorganics, plastics and compounds, electronic chemicals and materials, specialty resins and plastics, chemicals and additives, and specialty fluids and lubricants,” the filing says.

The firm has up to 24 months to complete its initial acquisition or it must return funds to investors. C&Co/PrinceRidge (New York) was book running manager in the offering. Cantor Fitzgerald (New York) and Drexel Hamilton (New York) acted as co-managers. Units are expected to begin trading on Nasdaq today under the symbol “QPACU.”

Quinn was CEO of Solutia prior to its acquisition by Eastman last year. Quinpario has launched unsolicited takeover bids for Ferro and carbon fiber maker Zoltek in the past 12 months and maintains significant stakes in those firms. Quinpario also has a stake in Sunedison, the former MEMC Electronic Materials.