Kissner Group Holdings LP has agreed to acquire US Salt LLC, a leading evaporated salt business with a salt refinery in Watkins Glen, New York, from Crestwood Equity Partners LP (NYSE: CEQP) for approximately US $225 million.
Cambridge, Ontario based Kissner Group Holdings LP is the parent company of Kissner and is owned by Metalmark Capital Holdings LLC, Silvertree‐KMC II LP, a venture between Silverhawk Capital Partners and Demetree Salt, LLC, and the Kissner management team.
Headquartered in Overland Park, Kansas, Kissner is a leading, vertically integrated bulk salt and specialty packaged salt producer focused on governmental and commercial customers in the Great Lakes, Great Plains and Midwest regions.
The transaction is expected to be completed by the end of 2017. Upon completion of the transaction, US Salt will continue to operate under its existing name as a subsidiary of Kissner. US Salt’s salt refinery in Watkins Glen, New York, will remain fully operational.
“US Salt is a highly complementary and welcome addition to our company,” said Mark Demetree, Executive Chairman and Chief Executive Officer of Kissner Group Holdings LP. “US Salt, with its leading position in providing evaporated salt to the consumer food, food processing, water conditioning, pharmaceutical, industrial and agricultural end-use markets, diversifies our product offering while expanding our ability to meet the needs of our customers. With US Salt, we will have increased financial scale and flexibility with non-weather correlated and non-seasonal cash flow to supplement our existing de-icing business. I’ve known the leadership at US Salt for some time, and I look forward to welcoming them to the Kissner team as we enter our next phase of growth together.”
Founded in 1893, US Salt utilizes solution mining to create salt brine from underground deposits lying 2,000 to 2,800 feet beneath the surface. US Salt’s customers include retailers, distributors and end-users in the consumer food, food processing, water conditioning, pharmaceutical, industrial and agricultural industries.
photo credit: US Salt