Babson Capital Management LLC, an investment management firm based in Springfield and Boston, and Charlotte, NC, announced it provided mezzanine debt and equity to support Huntsman Gay Global Capital’s acquisition of Citadel Plastics Holdings Inc. The transaction marks Babson Capital’s second investment made in partnership with Huntsman Gay.

Citadel Plastics, based in West Chicago, IL, is a global compounder of thermoset and thermoplastic resins with more than 600 employees and 14 locations in seven countries. Citadel operates two primary divisions, West Chicago-based Bulk Molding Compounds Inc. (BMCI), a supplier of high-quality thermoset compounds, and Evansville, IN-based The Matrixx Group, a manufacturer of specialty thermoplastic compounds used to produce plastic components for a variety of industries including health care, automotive, electrical and construction.

“We’re very excited to build upon our strong relationship with Babson Capital’s Middle Market Finance Group. Given the size and strategic importance of the Citadel Plastics investment, selecting the right financing partners was critical to our success. The Babson Capital team was the ideal partner due to its strong middle market background and depth of investment experience,” said David Topham, principal at Huntsman Gay. “We look forward to shared success as we work together to help Citadel achieve its growth objectives.”

“Babson Capital is pleased to partner with Huntsman Gay on this important transaction. Huntsman Gay’s proven track record and strong industry expertise in plastics and chemicals positions them well to bring value to the underlying business and creates a unique investment opportunity for us,” said Michael Klofas, managing director at Babson Capital. “We look forward to further building our relationship with Huntsman Gay.”

Huntsman Gay Global Capital is a private equity firm that focuses on middle-market leveraged buyouts and growth equity investments.