Headquartered in Conover, North Carolina, HSM Foam is one of the largest producers of flexible polyurethane foam in North America. HSM Foam provides hundreds of foam formulations for furniture, bedding, medical and packaging market applications. Its range of products includes Code*RedII® combustion inhibitive foam, EnduroFoam® premium performance foam and Preserve®, the first bio-based polyurethane foam. HSM Foam's operations are located in North Carolina (Conover), Arkansas (Fort Smith), Mississippi (Verona), California (Commerce) and Georgia (Americus). David Underdown, Chairman of HSM stated, "HSM will remain a major fabricator of foam products for its existing as well as new customers in the furniture, bedding, medical and packaging markets. This transaction will enable HSM to strengthen its leading market positions in its transportation seating, foam fabrication, specialty spring, wire and metal products businesses." Mark Jones, President and CEO of HSM added, "This is an exciting time for HSM as we build on our 70 year history of providing innovative products and solutions to our diverse customer base." HSM's foam fabrication operations will continue to be supported by Elite Comfort Solutions. The HSM Foam asset purchase is subject to customary conditions to closing and is expected to close early in the second quarter of 2016.
Through the combination of Pacific Urethanes, Elite Foam, and HSM Foam, Arsenal is building Elite Comfort Solutions into a leading specialty foam platform. Elite Comfort Solutions will have an initial national network of 10 production facilities and the company will leverage its range of technologies and product innovation across the consolidated company. The management teams at each of the three businesses will continue to operate under Elite Comfort Solutions.
"We partnered with the management teams of Elite Foam, Pacific Urethanes and HSM Foam to bring together these three complementary players in the specialty foam industry," said John Televantos, a Partner at Arsenal and Co-Head of the firm's Specialty Industrials Group.
Timothy Zappala, a Partner at Arsenal and Co-Head of the firm's Specialty Industrials Group, said, "Recognizing the importance of regional presence, yet conformity of quality and real-time service, the combination of these businesses has immediately created a leading foam company with the scale and range of product technologies desired to support our growing customer needs anywhere in North America."