Proto Labs to invest $15M

By Frank Antosiewicz
Correspondent

Published: August 16, 2013 2:37 pm ET
Updated: August 16, 2013 2:40 pm ET

Related to this story

Topics Injection Molding

MAPLE PLAIN, MINN. — Proto Labs Inc., which tags itself a quick-turnaround manufacturer of CNC-machined and injection molded parts, is buying a 175,000-square-foot building in Plymouth, Minn.

The facility, about 10 miles from Proto's Maple Plain headquarters, will have to be cleaned, gutted and rebuilt to be used as a manufacturing site, said Chief Financial Officer Jack Judd. He said the overall investment will approach $15 million to get it ready for operation in the spring of 2014.

"We had been planning this for about a year, knowing that we needed a building sometime next year," said Judd said in a telephone interview.

Proto Labs, which already has four buildings totaling 300,000 square feet in the Twin Cities area, employs 490 in Minnesota, including a site in Rosemont. The firm also has facilities in Telford, England; and Yamato-Shi, Japan.

"We had been planning this for about a year, knowing that we needed a building sometime next year," said Judd said in a telephone interview.

Judd said that they closed the deal Aug. 14.

The firm has not yet determined how it will use the space in all five of its Minnesota buildings. But Judd said Proto Labs will move some manufacturing from its headquarters into the Plymouth plant, freeing up space for offices.

The newly acquired building when fully utilized is expected to employ up to 350, but that includes workers who move from the other buildings.

The company offers quick-turn services online to product developers using 3-D computer-aided-design software. Its Protomold service offers injection molding, while its Firstcut service does computer numerically controlled machining. Both are primarily for prototyping or short-run production.

Proto Labs, which issued its initial public offering in February 2012, said in its most recent annual report that revenues have grown from $44.4 million in 2008 to $126 million in 2012.

"We're really concentrating on finding more product development and we've been very successful in executing our strategy," said Judd.

In an Aug. 1 quarterly report, the company said it had record sales of $39.7 million for the second quarter, a 33 percent increase over last year.

"Proto Labs multimillion dollar investment in acquiring and rehabilitating this property in Plymouth will help facilitate the continued successful growth of our business," President and CEO Brad Cleveland said in a statement.


Comments

Proto Labs to invest $15M

By Frank Antosiewicz
Correspondent

Published: August 16, 2013 2:37 pm ET
Updated: August 16, 2013 2:40 pm ET

Post Your Comments


Back to story


More stories

Image

Making the most of complexity

August 22, 2014 1:02 pm ET

In the global market for injection molded parts, custom molders have tried a million different ways to differentiate themselves from the pack. Make...    More

Image

German injection molders Metz-Werke and Inotech to collaborate

August 21, 2014 11:47 am ET

German injection molding companies Metz-Werke GmbH & Co. KG and Inotech Kunststofftechnik GmbH have announced that they have joined forces to bring...    More

Image

Enor expanding in S.C., moving toy production to U.S. from China

August 20, 2014 4:01 pm ET

Wal-Mart Stores Inc. has convinced toy producer Enor Corp. to expand U.S. production at the expense of sourcing from China.    More

Image

Venture Plastics adds 720-ton press

August 20, 2014 2:03 pm ET

Venture Plastics Inc. expanded its El Paso, Texas, custom molding facility in early summer to grow sales.    More

Image

Ohio molder sold to private equity firm

August 19, 2014 5:23 pm ET

Private equity firm TVV Capital of Nashville has acquired injection molder Design Molded Plastics Inc. for an undisclosed price.    More

Market Reports

Thermoformed Packaging 2014 Market Review & Outlook North America

This in-depth report analyzes economic and market trends, legislative/regulatory activity impacting supply and demand, business opportunities and threats, materials pricing, manufacturing technology, as well as growth strategies being implemented by thermoformed packaging companies.

Learn more

Pipe, Profile & Tubing Extrusion in North America 2014

U.S. demand for extruded plastics is expected to grow by 3 percent in 2014, with PVC remaining the largest segment.

Plastic pipe will post the strongest gains through 2018, continuing to take market share from competing materials in a range of markets.

Our latest market report provides in-depth analysis of current trends and their financial impact on the pipe, profile and tubing extrusion industry in North America.

Learn more

2014 Injection Molding Industry Report

GROWTH, OPPORTUNITY IN SIGHT FOR INJECTION MOLDERS IN 2014

In the wake of the economic turbulence earlier in this decade, molders today find themselves in much better shape. Molders are gaining a competitive advantage by investing in people, equipment and seeking inroads into new markets on a global scale.

Growth in the injection molding industry is going to be driven by low financing costs and a continued move to reshore some business.

Learn more

Upcoming Plastics News Events

September 10, 2014 - September 12, 2014Plastics Caps & Closures 2014

January 14, 2015 - January 14, 2015Plastics in Automotive

February 4, 2015 - February 6, 2015Plastics News Executive Forum 2015

More Events