Quality consistency continues to be very important for AOC’s customers for maintaining robust manufacturing operations and ensuring predictability of end-use performance. For that reason, AOC is very happy to announce that all its European production sites have again been ISO 9001 certified. Having received zero non-compliances is indicative of AOC’s focus on product consistency and continuous quality improvement practices.
The ISO 9001 standard is an international norm which summarizes best practices regarding Quality management. This norm was created already in 1987, and since then has been revised on a regular basis. Some of the new elements included introduction of processes for better Management of Change, and the requirement for risk-based thinking to support and improve the understanding and application of manufacturing and working processes.
Continuous Improvement
For a company like AOC, the desire to maintain a Quality Management System is a strategic decision, resulting from the company’s objective is to continuously improve customer satisfaction and meet their product requirements.
“Having a good Quality Management System in place immediately translates into product consistency and, as a result, increased confidence from our customers in AOC”, explains Stéphanie Rouillère, Quality Alignment Responsible for AOC. “Working on continuous Quality improvement also allows us also to reduce manufacturing process times and increases efficiency, resulting in reduced waste and cost. This helps both AOC and our customers to remain competitive in their markets.”
In 2020 AOC conducted a survey amongst its EMEA customers. In this survey, the respondents indicated that being supplied by AOC with Quality products and services is paramount to their success, next to AOCs best-in-class Technical Service support and technology developments.
Recertification Complete
The ISO 9001 recertification audits took place earlier this month (June 7-11) in AOC EMEA headquarters in Schaffhausen (Switzerland), EMEA R&D Centers in Zwolle (Netherlands) and Filago (Italy), and the manufacturing plants in Filago (Italy) and Schoonebeek (Netherlands). AOC received very positive comments for the auditors on its Quality systems and processes, and received zero non-conformances: “mature quality system, well implemented in AOC organization”, “culture of continuous improvement”, “risks and opportunities well identified”. As a result, AOC EMEA was again awarded with the ISO 9001 certification.
The newly acquired AOC manufacturing operation in (Czech Republic) already received an ISO 9001 recertification in April 2021 (in a record three months after the transfer to AOC).
Quality is Money
CVC Capital Partners ("CVC") today announced that it envisages to sell AOC, a leading global producer of specialty formulations, to an affiliate of Lone Star Funds (“Lone Star”). The contemplated transaction is subject to AOC workers' councils information and consultation and relevant regulatory authorities' approval.
Headquartered in Schiphol, The Netherlands, AOC is a global CASE & Colorants leader, producing and formulating unsaturated polyester formulations, vinyl ester formulations, and other solutions for applications in Coatings & Protective Barriers, Colorants & Visual Effects, Adhesives, and Conventional Composite Formulations.
AOC serves customers globally with specialty products for the automotive, marine, corrosion, construction, and infrastructure segments. The Company has production facilities in the U.S., Canada, Mexico, Europe, and Asia.
Under CVC Funds’ ownership, AOC realized significant growth, evolving from a strong regional player to a global composites leader through the strategic combination with The Alpha Corporation in 2018. Under the leadership of Joe Salley, AOC developed into a best-in-class specialty formulations platform with a clear path for continued sustainable growth.
Steven Buyse, a Managing Partner at CVC, said: “We are tremendously proud of the achievements of AOC and its management team. AOC is an outstanding business, and we want to thank Joe Salley and the rest of the management team for the successful partnership and wish them every success in the envisaged next phase of AOC's exciting journey.”
“Lone Star recognizes AOC’s role as a trusted partner to thousands of customers across the globe seeking to optimize the critical performance attributes of their products,” said Donald Quintin, President, Opportunity Funds, Lone Star. “AOC’s world class management team has positioned the company to accelerate its growth trajectory in a variety of end markets, applications, and geographies through operational excellence and continued product innovation. AOC aligns well with Lone Star’s portfolio of specialty chemical and manufacturing businesses, which have adopted similar approaches to value-add product delivery. We look forward to the envisaged partnership with the AOC team as the company continues to execute its growth strategy.”
Joe Salley, CEO of AOC, said: ”I am very proud of the accomplishments of my colleagues, and on their behalf, extend our gratitude to CVC for their stewardship of this business. Steven Buyse and his team have been ideal sponsors; our successes and opportunities would not have been possible without them. We are excited about the prospects for AOC and the envisaged partnership with the Lone Star team to create an even stronger company.”
J.P. Morgan served as financial adviser on the transaction to CVC, with Clifford Chance as legal counsel. Lone Star was advised by Lazard and Vinson & Elkins. Management was advised by Jamieson Corporate Finance, Katzke and Morgenbesser. BofA Securities and RBC Capital Markets provided the financing commitments for the transaction, and Kirkland & Ellis LLP acted as legal advisor to Lone Star on the financing commitments.
About AOC
AOC is the leading global supplier of specialty formulations and solutions which enable customers to create robust, durable, and versatile products and components for applications in Coatings and Protective Barriers, Colorants and Visual Effects, Adhesives and Specialties, and Composite formulations. With strong capabilities worldwide in manufacturing and science, the company works closely with customers to deliver unrivaled quality, service, and reliability for today and create innovative solutions for tomorrow.
About CVC
CVC is a leading private equity and investment advisory firm with a network of 24 offices throughout Europe, Asia and the US, with approximately US$115 billion of assets under management. Since its founding in 1981, CVC has secured commitments in excess of US$163 billion from some of the world's leading institutional investors across its private equity and credit strategies. Funds managed or advised by CVC are invested in over 90 companies worldwide, which have combined annual sales of approximately US$100 billion and employ more than 450,000 people. For further information about CVC please visit: www.cvc.com.
About Lone Star
Lone Star is a leading private equity firm advising funds that invest globally in real estate, equity, credit and other financial assets. Since the establishment of its first fund in 1995, Lone Star has organized 21 private equity funds with aggregate capital commitments totaling approximately $85 billion. The firm organizes its funds in three series: the Commercial Real Estate Fund series; the Opportunity Fund series; and the U.S. Residential Mortgage Fund series. Lone Star invests on behalf of its limited partners, which include institutional investors such as pension funds and sovereign wealth funds, as well as foundations and endowments that support medical research, higher education, and other philanthropic causes. For more information regarding Lone Star Funds, go to lonestarfunds.com.
