Milacron buys Kortec

By Bill Bregar
Senior Staff Reporter

Published: February 19, 2014 3:28 pm ET
Updated: February 20, 2014 2:10 pm ET

Image By: Milacron LLC Tom Goeke

Related to this story

Topics Mergers & Acquisitions, Machinery, Molds/Tooling
Companies & Associations Milacron LLC

Milacron LLC has made another acquisition, picking up Kortec Inc., a supplier of coinjection molding technology for making barrier packaging, the machinery maker announced Feb. 19.

The deal makes Milacron a major provider of fully integrated, turnkey co-injection barrier systems.

"The addition of Kortec is a perfect accompaniment to Milacron's acquisition of hot runner manufacturer Mold-Masters in 2013," said Milacron CEO Tom Goeke. "Mold-Masters' existing IRIS barrier technology and Milacron's machinery platform, in partnership with Kortec, will create the widest co-injection solutions capability in the plastics industry. This furthers our vision to focus on giving our customers an unprecedented range of fully integrated solutions."

Terms were not disclosed for the deal, which is expected to close before the end of February. Kortec is in Rowley, Mass.

Kortec was founded by Paul Swenson, who in 1995 left Kona Corp., the hot runner maker he founded, to start Kortec and focus on coinjection molding. He will remain with the company under Milacron's ownership.

Kortec President and CEO Paul Swenson said Milacron will help the coinjection molding technology company reach a larger, global customer base. "By teaming with Milacron, Kortec will be able to supply a wider variety of solutions, further enhancing our offerings to the market and creating better ways to serve our customers," he said.

Kortec has developed a proprietary process of filling a mold with a melt delivery system that has separate flow channels for the skin, sandwiching a middle barrier layer. Milacron officials said that injection molded barrier packaging has seen significant growth in the past five years replace cans, tin, glass and thermoformed plastics for shelf-stable thin-wall packaging, beverage packaging, pet foods, single serve coffee and medical parts.

According to Milacron, customers will have the flexibility to purchase a fully integrated Kortec system, or choose to add a retrofit coinjection melt distribution and control module to their existing injection molding equipment. Both of these options can transform operations from mono-layer manufacturing processes to complete coinjection molding lines.

Kortec is the second acquisition in recent months for Milacron, owned by private equity firm CCMP Capital Advisors LLC, has made several deals in recent months. Milacron announced Feb. 5 that it has purchased Southlake, Texas, manufacturers' representative Industrial Machine Sales Inc. and its sister company, Precise Plastics Machinery Inc.

In late 2013, Milacron bought American Extrusion Services Inc. of Springboro, Ohio. AES provides aftermarket services for extruders, including rebuilding, barrel alignment and feed screw and barrel measuring.


Comments

Milacron buys Kortec

By Bill Bregar
Senior Staff Reporter

Published: February 19, 2014 3:28 pm ET
Updated: February 20, 2014 2:10 pm ET

Post Your Comments


Back to story


More stories

Image

Huhtamäki selling film division

November 26, 2014 2:10 pm ET

Private equity firm Deutsche Beteiligungs AG (DBAG) will acquire the film business of Finland-based plastics packaging group Huhtamäki Oyj for 141...    More

Image

Visteon in talks to sell its stake in Halla Visteon Climate Control JV

November 26, 2014 9:07 am ET

Visteon Corp. confirmed this morning that it is in discussions with a private equity firm to sell its stake in South Korean joint venture Halla...    More

Image

2014 US machinery shipments up 6 percent

November 25, 2014 5:17 pm ET

Through the first nine months of 2014 U.S. shipments of primary plastics equipment — for injection molding, blow molding and extrusion —...    More

Image

Globalization brings sizable growth, primarily in Asia

November 25, 2014 1:40 pm ET

In 1990, the year after Plastics News published our first issue, there were 33,000 injection molding machines sold worldwide. Fast forward to 2013,...    More

Image

Taipei Plas vandal and German firm trade lawsuits

November 25, 2014 1:26 pm ET

Taiwan businessman Karma Tang, who splashed red paint at German firm Baumüller GmbH's Taipei Plas booth, is in a messy legal battle.    More

Market Reports

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

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

Plastics in Mexico - State of the Industry Report

This report analyzes the $20 billion plastics industry in Mexico including sales of machinery & equipment, resins and finished products.

Our analysts provide insight on business trends, foreign investment, top end markets and plastics processing activity. The report also provides important data on exports, production, employment and value of plastics products manufactured.

Learn more

Upcoming Plastics News Events

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

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

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

September 16, 2015 - September 18, 2015Plastics Caps & Closures - September 2015

October 27, 2015 - October 29, 2015Plastics Financial Summit - New York - 2015

More Events