Onex Corp Supports Sterling Group's Acquisition of Precision Concepts International for Growth
- Onex Corp's investment platform, ONCAP, sells a majority stake in Precision Concepts International to The Sterling Group.
- ONCAP will continue to support PCI's growth alongside The Sterling Group after the acquisition.
- Onex Corp plays a key role in fostering mid-market companies for sustainable growth in the packaging industry.
Onex Corp Strengthens Ties as The Sterling Group Acquires Precision Concepts International
On July 15, 2025, The Sterling Group, a private equity firm based in Houston, announces a significant development in the packaging industry by acquiring a majority ownership stake in Precision Concepts International, LLC (PCI) from ONCAP, the lower mid-market investment platform of Onex Corporation. This acquisition marks a strategic shift for PCI, which specializes in rigid packaging solutions and operates five manufacturing facilities across the United States, as well as locations in Canada and Costa Rica. PCI serves an array of small to mid-sized businesses in consumer-focused sectors, including personal care and food and beverage, highlighting the company's vital role in catering to essential market needs.
As part of the acquisition, The Sterling Group aims to collaborate closely with ONCAP and PCI's management to harness existing strengths while pushing for future growth. Ken Swanson, a seasoned professional in the specialty packaging sector, will take on the role of Chairman of PCI’s Board of Directors following the transaction. This leadership change signals an intent to leverage Swanson’s expertise to enhance PCI's operational capabilities and market presence. Ray Grupinski, the CEO of PCI, expresses his appreciation for ONCAP's support over the past eight years and shows optimism about Sterling's dedication to driving the company’s growth trajectory.
The financial backdrop of the transaction illustrates the robust capabilities of The Sterling Group, which manages $9.4 billion in assets and has successfully executed transactions exceeding $25 billion across various sectors, including manufacturing and industrial services. ONCAP, with its $3.5 billion in assets, remains committed to supporting PCI's growth alongside its new partner. The involvement of financial advisors such as Evercore and Latham & Watkins for Sterling, along with William Blair and Stifel advising ONCAP, underscores the strategic significance of this deal in the packaging landscape.
In parallel, PCI's commitment to strong customer service and product quality positions it favorably for future expansion opportunities. The collaboration with The Sterling Group is anticipated to enhance operational efficiencies and foster innovation, enabling PCI to adapt and thrive in a competitive marketplace. This acquisition not only highlights the strategic maneuvers within the packaging sector but also reflects Onex Corp’s ongoing role in nurturing mid-market companies to achieve sustainable growth. As the industry evolves, partnerships like this will likely play a crucial role in defining the future of rigid packaging solutions.