Nanotechnology Now - Press Release: "Palladium Equity Partners Makes $10 Million Commitment to Starfire Systems"

Home > Press > Palladium Equity Partners Makes $10 Million Commitment to Starfire Systems

Abstract:
Palladium Equity Partners, LLC, a New York-based private equity firm, and Starfire Systems,Inc., a leading global developer and manufacturer of nanostructured advanced ceramic materials and finished products, today announced that Palladium has committed to invest up to $10 million in Starfire through the acquisition of preferred stock in a private placement. Palladium's investment will provide growth capital for Starfire and the private equity firm will be Starfire's largest institutional investor.

Palladium Equity Partners Makes $10 Million Commitment to Starfire Systems

NEW YORK and MALTA, NY | Posted on July 11th, 2007

Peter A. Joseph, a Managing Director of Palladium, said, "Starfire's
nanostructured advanced ceramics position the Company to benefit from
trends in the aerospace, automotive, electronics, energy and other
manufacturing industries where advanced materials are central to growth and
innovation. Under the leadership of Richard Saburro, Starfire's President,
and his team, the Company has emerged as a provider of adaptable,
light-weight ceramic products that have superior strength and durability.
Starfire products offer innovative alternatives to conventional materials,
enabling customers to realize reduced costs with more flexible design
capability. We are delighted to make this commitment in support of the
growth and success of an excellent New York-based company."

Starfire Systems develops and manufactures performance materials and
products for electronics, transportation, aerospace, and other key
industries. Starfire's products are manufactured with proprietary
ceramic-forming polymers that yield nanostructured ceramics with superior
properties and lower cost compared to advanced ceramics produced with
conventional methods. Products developed by Starfire are currently used in
applications from ultra light- weight brake rotors for performance
motorcycles to the NASA Space Shuttle's heat shield repair kit.

Starfire Systems is located in the Saratoga Technology + Energy Park
(STEP), Malta, NY, a 280-acre site dedicated to the support and development
of clean energy and environmental technology companies in the heart of New
York's Tech Valley. STEP is owned and sponsored by the New York State
Energy Research and Development Authority (NYSERDA), a public benefit
corporation of the State of New York.

Starfire President and CEO, Richard Saburro, said, "Palladium brings
both capital and manufacturing experience to Starfire at a crucial time as
we expand our operations in a new facility and introduce groundbreaking new
products to the industries we serve. Palladium will be a valuable addition
to our team at STEP which, under the leadership of NYSERDA, has provided
strong support for Starfire's growth and development. We look forward to
working with Palladium, NYSERDA and STEP as we continue to develop a
leadership position in the advanced ceramics industry, worldwide."

NYSERDA President and CEO, Paul D. Tonko, said, "Starfire is a prime
example of a small company achieving growth and success through public and
private partnerships, and we at NYSERDA are extremely pleased to see
Starfire receive such great support from Palladium. The investment will
help Starfire continue to succeed and complement the Governor's efforts to
promote the manufacturing of clean energy and environmentally friendly
technologies and enhance economic development in upstate New York."

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About Palladium Equity Partners, LLC
Starfire Systems, Inc. is the leading global developer and manufacturer
of break-through nanostructured ceramic materials and finished products.
Our patented pre-ceramic polymer technology simplifies the production of
nanostructured silicon carbide (SiC) fiber-reinforced composites,
monoliths, and coatings. For the first time, the design and cost advantages
long associated with polymer-based plastics are combined with the superior
performance properties of leading edge ceramics. This translates into new
materials options that are both light-weight and tough while critical
performance characteristics for hardness and thermal stability are
maintained. Starfire is pioneering nanostructured ceramics in key markets
for transportation, aerospace, electronics, and others. Our clients are
forward thinking companies who recognize that new materials solutions are
vital to enhance the capabilities of their products and ensure the future
success of their companies. For more information on Starfire and its
enabling technologies and products, visit http://www.starfiresystems.com/ .

About Palladium Equity Partners

Palladium Equity Partners, LLC ( http://www.palladiumequity.com ) is an
investment firm targeting companies in financial and business services,
consumer/retail, food/restaurants, healthcare, manufacturing, and media.
Palladium has a particular focus on companies that are well-positioned to
capitalize on the fast-growing U.S. Hispanic market. The principals of
Palladium have invested over $2.5 billion of equity in more than 50
portfolio companies over the last two decades. Formed in 1997, Palladium
currently has capital under management in excess of $750 million.