SI Group Completes Comprehensive Recapitalization to Accelerate Growth

SI Group Completes Comprehensive Recapitalization

In a transformative move, SI Group, a global leader in the development and manufacture of performance additives, process solutions, and chemical intermediates, has successfully completed a comprehensive recapitalization transaction. This significant initiative, which was supported by lenders and equity partners, marks a pivotal moment for the company and positions it for accelerated growth.

Significant Debt Reduction

As part of this recapitalization, SI Group announced a remarkable reduction in its outstanding net debt by approximately $1.7 billion, accounting for over 80% of its previous total liabilities. This substantial deleveraging is set to enhance the company’s financial health and operational flexibility going forward. Furthermore, changes made to the revolving credit facility will further bolster SI Group’s capacity to navigate future financial landscapes with agility and confidence.

New Investments for Future Success

The recapitalization was bolstered by a new institutional group of owners who infused $150 million in subordinated capital. Their investment reflects a strong commitment to the long-term prospects of SI Group and will be instrumental in meeting the company’s working capital needs. This capital influx allows SI Group to focus on critical operational initiatives, thereby driving growth and effectively meeting the evolving demands of its customers and business partners.

David Bradley, the President and CEO of SI Group, expressed his optimism regarding this strategic move. He stated, "This recapitalization is a crucial step for SI Group. By reducing our debt and securing new investments, we have strengthened our financial foundation, enabling us to continue investing in growth, enhancing our operational capabilities, and supporting our customers worldwide. We are excited about partnering with our new institutional investors, whose commitment reflects confidence in our strategy and positions us for long-term success."

Expertise Behind the Transaction

The advisory roles for this significant transaction were filled by several key firms. Latham & Watkins LLP served as legal counsel, while PJT Partners acted as the investment banker. Financial consultancy was provided by AlixPartners LLP specifically for SI Group, supporting them through this transformative process. For the ad-hoc group of lenders, Akin Gump Strauss Hauer & Feld LLP provided legal counsel, with Lazard taking on the role of investment banker facilitating the corporate loan extension.

Commitment to Innovation and Sustainability

SI Group is recognized globally for its innovative technologies in high-performance additives, process solutions, and chemical intermediates. The company’s offerings are essential for enhancing both the quality and performance of a vast range of industrial and consumer goods, spanning sectors such as plastics, rubber and adhesives, fuels and lubricants, oilfields, and pharmaceuticals. Currently, SI Group operates 18 manufacturing facilities across three continents and employs about 1,600 individuals, serving customers in 80 countries.

In 2025, SI Group received a bronze medal from EcoVadis for corporate social responsibility, ranking among the top 35% of over 150,000 companies globally. SI Group advocates passion for safety, chemistry, sustainability, and exceptional results, driving innovation and change to create significant value in the market. For more details about SI Group, visit www.siigroup.com.