Eyeglass maker transitions to new ownership

By Frank Antosiewicz
Correspondent

Published: April 3, 2014 2:08 pm ET
Updated: April 3, 2014 2:15 pm ET

Image By: Transitions Optical Inc. Transitions Optical teamed with Nike to produce light-sensitive sunglasses for Major League Baseball's 2013 All-Star Game.

Related to this story

Topics Consumer Products, Mergers & Acquisitions

After 24 years as a joint venture, Transitions Optical Inc. is gaining new leadership and will operate solely as a subsidiary of Essilor International SA.

Transitions Optical, known for its photochromic lenses, opened in 1990 as a joint venture headed by PPG Industries Inc., of Pittsburgh and Essilor. PPG had held a 51 percent stake, while Essilor owned 49 percent.

The two owners completed a deal April 1 originally proposed in July 2013. Essilor is purchasing the remaining 51 percent of Transitions as well as PPG’s Intercast sun lens business. PPG said that the deal reflects an enterprise value of $3.4 billion. It received $1.73 billion in cash, subject to certain post-closing and adjustment and transaction costs.

In 2013, the Transition joint venture and sun lens business had combined net sales of $874 million.

Paddy McDermott is the new president of Transition Optical. He joined the Pinellas Park, Fla., company in 1993 and has held various key positions. He was responsible for the startup of Transition’s Ireland factory and later directed its European operations.

McDermott will report to Bertrand Roy, senior vice president, strategic partnerships, at Essilor. He has been with Essilor for nearly 27 years and was instrumental in the foundation of the Transitions venture.

The company also said that Richard Elias, CEO and senior vice president, optical and specialty materials has retired.  David Cola, former president of Transitions, will stay with PPG and was promoted to vice president of PPG’s packaging coating business.

Essilor, in a July 2013 presentation, said that the acquisition was good fit and that the global market was growing 3-4 percent. It also estimated that 4.2 billion people needed vision correction and that 2.5 billion of those have not yet gained the proper help.

Among the benefits of full ownership, it pointed out that it could drive faster growth in the photochromic category, especially in Europe, Asia and Latin America. It also noted that having worked together all these years, they have tremendous synergies. The sun lens acquisition also offers more opportunities for both Essilor and Transitions.

Essilor International is a publicly traded company in Paris. It develops and produces optical lens and has more than 10,000 employees in North America.

PPG said that the sale will provide more assets for its vision of being a world leader in coating and specialty materials.


Comments

Eyeglass maker transitions to new ownership

By Frank Antosiewicz
Correspondent

Published: April 3, 2014 2:08 pm ET
Updated: April 3, 2014 2:15 pm ET

Post Your Comments


Back to story


More stories

Image

Metals and plastics company NN to buy Autocam in $300 million deal

July 25, 2014 10:07 am ET

A Tennessee metals and plastics company said it has agreed to acquire auto parts supplier Autocam Corp. in a deal valued at $300 million.    More

Meredian merging with Danimer Scientific

July 24, 2014 1:59 pm ET

Bioplastics maker Meredian Inc. is merging with its sister firm, Danimer Scientific LLC.    More

Image

Injection molder, recycler Polyvulc USA puts itself up for sale

July 24, 2014 12:41 pm ET

Fred Farrell and Larry Lambiotte, founders of Polyvulc USA Inc. and its subsidiaries Polyvulc Tire Recycling Llc and Winnsboro Rubber Recycling LLC,...    More

Image

Bayer PC used for lightweight, durable luggage collection

July 24, 2014 10:52 am ET

Bayer MaterialScience has partnered with U.S.-based travel goods manufacturer Andiamo Luggage LLC to create a special plastic for suitcases that is...    More

Image

Contigo, Avex buy lets Newell Rubbermaid leapfrog new bottle development

July 22, 2014 4:11 pm ET

Newell Rubbermaid Inc. is ready to accelerate its move into the reusable water bottle business with the purchase of two on-the-go drinkware brands.    More

Market Reports

Plastics Recyclers Data Report & Directory

This exclusive MS Excel database contains all the companies from Plastics News' ranking of top North American Recyclers and Brokers by reprocessed volume and also includes a directory with materials processes, services offered and company contact information. Data is based on primary research by PN editorial staff.

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

Shale Gas Market - Analysis of North American Region

This report highlights the impact of shale-based natural gas on the North American plastics market and features an in-depth analysis of production trends in the United States during 2013 and a forecast for 2014 and beyond.

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