Gladstone Investment Corporation Supports Acquisition of Plastic Solutions, Inc.
MCLEAN, Va., April 8, 2015 (GLOBE NEWSWIRE) -- Gladstone Investment Corporation (Nasdaq:GAIN) ("Gladstone Investment") announced today that on March 31, 2015, it made a follow-on investment of equity and debt in its portfolio company, Precision Southeast, Inc. ( PSI ), to facilitate the strategic acquisition of Plastic Solutions, Inc. Plastic Solutions, Inc. is based in Indiana and is a custom injection molder serving the automotive, small engine, furniture, air handling device, sporting goods, manufactured housing, and recreational vehicles industries. PSI is based in South Carolina and is an injection molder that designs sophisticated molds and manufactures highly engineered molded plastic products using a variety of resins. The combined company operates three plants, two in South Carolina and one in Indiana. This acquisition significantly enhances PSI's competitive capabilities and product offerings, with presses ranging in capacity from 22 tons to 1,500 tons.
Steve Stradtman, CEO of PSI, and Bob Tennyson, former CEO of Plastic Solutions, Inc., have combined two companies with excellent management teams and capabilities in order to build on long term customer relationships and to expand the offerings of PSI.
Steve Stradtman said of the acquisition, "[my] vision for PSI and being competitive in the marketplace is to bring value to relationships by investing in growth, quality, program management, continuous improvement and technology. The purchase of Plastic Solutions, Inc. fits all of these categories."
Christopher Lee, a Managing Director of Gladstone Investment, agreed, "[t]his combination strengthens both companies, bringing added customer and end-industry diversification, expanded geographic reach, and a strengthened / broadened management bench."
Gladstone Investment Corporation is a publicly traded business development company that seeks to make debt and equity investments in small and mid-sized businesses in the United States in connection with acquisitions, changes in control and recapitalizations. Additional information on the transaction can be found at www.gladstonecompanies.com.
For Investor Relations inquiries related to any of the monthly dividend paying Gladstone funds, please visit www.gladstone.com.
The statements in this press release regarding the longer-term prospects of PSI and its management team, and the ability of PSI to grow and expand are "forward-looking statements." These forward-looking statements inherently involve certain risks and uncertainties in predicting future results and conditions. Although these statements are based on Gladstone Investment's current plans that are believed to be reasonable as of the date of this press release, a number of factors could cause actual results and conditions to differ materially from these forward-looking statements, including those factors described from time to time in Gladstone Investment's filings with the Securities and Exchange Commission. Gladstone Investment undertakes no obligation to publicly release the result of any revisions to these forward looking statements that may be made to reflect any future events or otherwise, except as required by law.
CONTACT: For further information: Gladstone Investment Corporation, 703-287-5893
Released April 8, 2015