Davis-Standard purchase of Circonix highlighted at ICE USA

By Don Loepp
Editor

Published: May 14, 2013 1:51 pm ET
Updated: May 14, 2013 1:55 pm ET

Image By: Plastics News photo by Don Loepp Bob Preston, left, CEO of Davis-Standard LLC, with Andre Icso of Circonix Technologies, at the ICE USA trade show in Orlando, Fla.

Related to this story

Topics Mergers & Acquisitions Machinery
Companies & Associations Davis-Standard LLC

ORLANDO, FLA. — Davis-Standard LLC highlighted its aftermarket business at the ICE USA trade show, as well as its recent purchase of Circonix Technologies LLC.

Davis-Standard, a Pawcatuck, Conn.-based extrusion and converting machinery manufacturer, exhibited at the Orlando show around the corner from a separate booth occupied by Ringwood, N.J.-based Circonix.

But the two exhibits each had signage referencing the company's relationship, which was cemented last fall when Davis-Standard bought the systems integrator.

At the time, Circonix was actually looking to acquire another company, but ended up being acquired by Davis-Standard instead.

"We were at a point in our company's growth where we couldn't grow organically fast enough," said Andre Icso, vice president at Circonix.

Circonix, which was founded in 1989, did most of its work on the liquid coating side of the extruder market. Icso has long wanted to diversify the company into other parts of the extrusion sector, but it was always difficult to get up to speed when Circonix staff was busy keeping up with demand in the coating side.

Now that the company is owned by Davis-Standard, it has the necessary expertise for other extrusion markets close at hand. So now Circonix expects to have a more balanced product mix.

"They have a worldwide sales force. They are strong in the extrusion side, in new equipment. So the match between us is good; there's very little overlap," Icso said.

For Davis-Standard, the deal was all about beefing up aftermarket services, said CEO Bob Preston.

Many multinational packaging companies are interested in improving the throughput of their extrusion equipment through the work of companies like Circonix.

Icso said a typical customer can upgrade an existing line with new drive- and control-systems for roughly 60 percent of the cost of a new line.

The Circonix deal was evidence that Davis-Standard's owner, Canadian investment firm Onex Corp., remains bullish on plastics machinery. Onex, which formerly owned Husky Injection Molding Systems Ltd., bought Davis-Standard in 2011. Since then, it has also purchased the world's largest plastics machinery manufacturer, KraussMaffei Group.

Preston said Onex is keeping Davis-Standard and KM separate. With strong first-quarter results and a good pipeline of business booked for the rest of the year, the ownership group is happy with its plastics machinery investments.

Davis-Standard also featured its dsX flex-pack extrusion coating technology at ICE USA. The company said the lines can handle a wide range of applications, while cutting waste and offering lower overall costs.


Comments

Davis-Standard purchase of Circonix highlighted at ICE USA

By Don Loepp
Editor

Published: May 14, 2013 1:51 pm ET
Updated: May 14, 2013 1:55 pm ET

Post Your Comments


Back to story


More stories

Image

Haitian builds system for Renault's new China auto assembly plant

April 24, 2015 11:10 am ET

A late-comer to the world's largest auto market, French carmaker Renault SA is currently building its first factory in China.    More

Image

Wittmann Battenfeld betting on big for future sales

April 24, 2015 12:34 pm ET

Five hundred visitors packed into MacroPower Days, about twice as many as Wittmann Battenfeld GmbH officials initially expected — proof, they...    More

Image

Court approves Bekum's European reorganization

April 23, 2015 5:04 pm ET

Blow molding machinery maker Bekum Maschinenfabriken GmbH has announced it received court approval for the reorganization plan it proposed in...    More

Image

3-D printing firm MakerBot closing retail shops, cutting jobs

April 23, 2015 10:33 am ET

The 3-D printing pioneer MakerBot is downsizing.    More

Image

Engel, VW working on joint research into high volume composites in auto

April 23, 2015 9:40 am ET

Engel, the Austria-based manufacturer of injection molding machines, is building one of its largest machines for a research center looking into integr...    More

Market Reports

Plastics Recycling Trends in North America

This report is a review and analysis of the North American Plastics Recycling Industry, including key trends and statistics based on 2013 performance. We examine market environment factors, regulatory issues, industry challenges, key drivers and emerging trends in post-consumer and post-industrial recycling.

Learn more

Injection Molding Market Analysis & Processor Rankings

Plastics News BUNDLED package contains our in-depth Market Analysis of the Injection Molding segment. You will gain keen insight on current trends and our economic outlook.

As a BONUS this includes PN's updated 2014 database of North American Injection Molders RANKED by sales volume. Sort, merge, mail & prospect by end market, materials processed, region, # of plants and more.

Learn more

Plastics Caps & Closures Market Report

The annual recap of top trends and future outlook for the plastics caps & closures market features interviews with industry thought leaders and Bill Wood’s economic forecast of trends in growing end markets. You will also gain insight on trends in caps design, materials, machinery, molds & tooling and reviews of mergers & acquisitions.

Learn more

Upcoming Plastics News Events

June 2, 2015 - June 3, 2015Plastics Financial Summit - Chicago 2015

September 15, 2015 - September 17, 2015Plastics Caps & Closures - September 2015

More Events