Mr. Rinaldi, a principal partner and Chief Executive Officer of Philadelphia Energy Solutions LLC, is an entrepreneurial industrialist whose career has focused on energy, chemical and natural resource industries, where he specializes in finding good but undervalued businesses in his area of interest, acquiring those targets with partner groups tailored to the specific situation, and then leading the development of these businesses through their maturity.
Mr. Rinaldi has been an investor and/or the principal executive in a wide range of industries, including oil refining, oil exploration, phosphate mining and chemical production, coke gasification, nitrogen chemical production, zinc refining, and production of molybdenum, rhenium and vanadium derivatives. Mr. Rinaldi’s industrial background includes prominent companies such as Exxon, Phibro, Tosco, Coffeyville Resources, Conserve, Seminole, and Mulberry Corporation.
In a previous transaction with significant similarity to Philadelphia Energy Solutions, Mr. Rinaldi was the founding Chief Executive Officer of Coffeyville Resources, which acquired a sophisticated oil refinery and coke gasification-based agricultural chemical plant out of Farmland Industries’ bankruptcy in 2004 with financial partner Pegasus Capital, a private equity firm with which Mr. Rinaldi was then affiliated.
Coffeyville thrived technically, commercially and economically under his leadership, as both the refinery and the gasification plant achieved sustained operations at record high rates and efficiencies, environmental matters were resolved promptly in a more-than-satisfactory manner and market expectations became a harvested reality. The company quickly turned into a highly profitable, multibillion-dollar-per-year business and was subsequently sold to Goldman Sachs and Kelso & Company in a high-profile, highly profitable private transaction. The company continued to thrive under its new ownership and evolved into the public company now known as CVR Energy.
In addition to his business pursuits, Mr. Rinaldi is an active member of New Jersey Institute of Technology, the state’s science and technology university where he serves as Chairman of the Board of Overseers, has endowed the Louis and Marie Carmella Rinaldi Memorial Scholarship and also serves as Director of the Alumni Association. He is also presently driving the creation of an angel investor network at the university to specialize in providing seed capital to start-up companies that have some affiliation with NJIT.
Mr. Rinaldi began his professional career with Exxon, gaining scientific, commercial and managerial experience, including overseas postings and rotations through affiliates involved with most segments of Exxon’s international oil business. Mr. Rinaldi left Exxon in 1980 to help form Phibro Resources Corporation as an energy and natural resource development subsidiary that Engelhard Corporation agreed to fund in exchange for PRC managing Engelhard’s oil exploration interests in the Canadian Beaufort Sea.
PRC ultimately operated businesses under Mr. Rinaldi’s leadership that were involved in a variety of energy and natural resource businesses, including conventional oil exploration, zinc smelting, vanadium pentoxide, molybdenum pentoxide, metallic rhenium, ferrochrome, cement, copper and ammoniated phosphates. PRC’s executives acquired the core PRC companies from Phibro-Salomon in one of the early leveraged buyouts. National Zinc was sold within six months of the MBO at a value that allowed all of the acquisition debt to be retired and the remaining businesses comfortably sold over the following two years.
Seeing missed value in out-of-favor assets, finding ways to enhance the value of those assets, and then showcasing that improved value in a way that attracts premium buyers would be a business pattern repeated throughout Mr. Rinaldi’s career. Some of the other major transactions in which Mr. Rinaldi was involved as a principal, and generally as CEO or lead executive, were Seminole Fertilizer Corporation, Argus Energy and Tosco Corporation, Mulberry Corporation and Pegasus Capital Partners Private Equity Fund(s).
Mr. Rinaldi earned his BS and MS degrees in Chemical Engineering from New Jersey Institute of Technology in 1968 and 1976, respectively. As an undergraduate, he was inducted into Omicron Kappa Delta National Leadership Honor Society and Omega Chi Epsilon Chemical Engineering Academic Honor Society. Phil also served as President of Theta Chi Fraternity, President of the Inter-fraternity Council, and President of the Class of 1968.