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involved in stock deals

CPAC investors, firm
involved in stock deals

Two major stock deals unfolded this week at CPAC Inc.
CPAC Investors LLC, the firm’s majority shareholder, has sold its 1.25 million shares of common stock to two large institutional investors and a number of existing private shareholders, the company announced today. The transaction, handled by J.E. Sheehan & Co. in New York City, is expected to close tomorrow.
CPAC Investors was formed by independent shareholders last October. That same month, CPAC completed a private placement with the group, which bought 1 million shares at $11 a share, representing a 22.8 percent discount from the market price at that time. (The number of shares held by CPAC Investors increased due to a 5-for-4 stock split in May.)
The October private placement, which raised approximately $15.3 million for CPAC, also included the sale of 500,000 shares issued to other investors.
CPAC Investors likely will dissolve following its stock sale, said Wendy Clay, CPAC’s vice president of administration.
In another stock transaction announced today, CPAC this week bought back 305,500 shares of stock from Daniel Abraham, a Florida businessman. CPAC paid $2,688,400–or $8.80 a share.
No additional buybacks are planned, Clay said.
“Our strong cash position enabled us to complete this transaction and still have sufficient funds available for CPAC’s strategic acquisitions program,” CEO Thomas Hendrickson said.
At its annual meeting earlier this month, CPAC shareholders voted to boost the number of shares CPAC can wield for making acquisitions, like the 1994 purchase of the Fuller Brush Co. CPAC increased its authorized shares from 10 million to 20 million.
On the acquisition front, “there’s nothing that we are close to at this point,” Clay said.
Based in Leicester, CPAC manufactures and sells specialty chemicals for the imaging and cleaning/personal-care industries. It employs 570 workers worldwide, including 45 at the Leicester headquarters and manufacturing facility.
CPAC stock was trading today in the $9.88 range. After these stock deals are completed, CPAC will have 7,038,503 shares outstanding.

CPAC investors, firm
involved in stock deals

Two major stock deals unfolded this week at CPAC Inc.
CPAC Investors LLC, the firm’s majority shareholder, has sold its 1.25 million shares of common stock to two large institutional investors and a number of existing private shareholders, the company announced today.

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