Sumitomo Bakelite buying injection molder Vaupell Holdings

By Roger Renstrom
Correspondent

Published: April 24, 2014 7:37 pm ET
Updated: April 25, 2014 11:30 am ET

Related to this story

Topics Mergers & Acquisitions, Aerospace, Medical, Injection Molding

Private equity firm H.I.G. Capital LLC of Miami has entered into a definitive agreement to sell plastics processor Vaupell Holdings Inc. to Sumitomo Bakelite Co. Ltd. of Tokyo.

H.I.G. and Vaupell did not disclose terms of the deal, but financial publications valued the deal at $265 million. The purchase will boost Sumitomo Bakelite's stake in aerospace and medical molding.

Plans to complete the transaction before June 30 are contingent on U.S. government approval.

Joseph Jahn, Vaupell’s CEO, said H.I.G. has helped Vaupell grow through two acquisitions, the opening of a second 18,000-square-foot Everett, Wash., facility and the establishment of a joint venture in Shenzhen, China.

H.I.G. acquired Vaupell in May 2004 and concurrently bought SciTech Plastics Group LLC, extending Vaupell’s core aerospace capability into the medical and niche commercial markets. The other H.I.G.-backed acquisition involved Russell Plastics Technology Co. Inc. in 2011 for defense applications.

Seattle-based Vaupell employs about 750. In addition to Seattle, Everett and Shenzhen, the company operates facilities in Hudson, N.H.; Agawam, Mass.; Lindenhurst, N.Y.; Constantine, Mich.; and Sanger, Texas. Vaupell withholds details on its sales.

Vaupell develops and manufactures thermoplastic products, historically with a focus on commercial aircraft interiors. Key customers include Boeing Co. and Airbus SAS, plus component suppliers including United Technologies Corp.’s aerospace systems subsidiary, Spirit AeroSystems Inc. and Triumph Aerostructures’ Vought aircraft division.

Among its production output, Vaupell makes plastic window surrounds for the 787 Dreamliner and plastic parts for the Boeing 737, 777 and 747-8 aircraft.

Among operations, a Vaupell Midwest site manufactures implant devices incorporating bioabsorbable materials. Vaupell Northeast makes medical devices, Vaupell Rapid Solutions produces rapid prototypes and Vaupell Southwest manufactures carriers for the pneumatic tube industry and competitive pool equipment, such as lane markers.

Founded in 1947, Vaupell prides itself on providing a wide range of services ranging from product prototyping to tooling, part production, assembly and kitting. Vaupell often uses highly-engineered resins and polymer matrix composites in manufacturing tight-tolerance injection molded parts and assemblies.

Sumitomo Bakelite is a major global player in engineering thermoset resins and molding compounds.

Sumitomo Bakelite reported profit of 18.7 million yen ($178,000) on sales of 141.5 billion yen ($1.35 billion) for the nine months ended Dec. 31. As of September, Sumitomo Chemical Co. Ltd. owned 19.98 percent of publicly traded Sumitomo Bakelite.

H.I.G. Capital provides capital to small and medium-sized companies with a current portfolio that includes more than 80 companies with combined sales in excess of $30 billion.


Comments

Sumitomo Bakelite buying injection molder Vaupell Holdings

By Roger Renstrom
Correspondent

Published: April 24, 2014 7:37 pm ET
Updated: April 25, 2014 11:30 am ET

Post Your Comments


Back to story


More stories

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

Uni Cap to build cap molding plant in Jordan

November 25, 2014 12:57 pm ET

The Persian Gulf's largest molder of caps and closures is investing $10 million in a new factory near Amman, Jordan, as part of an effort to boost...    More

Image

Deal adds U.K. plant to DelStar

November 25, 2014 12:47 pm ET

Schweitzer-Mauduit International Inc. (SWM) is acquiring certain assets from the advanced wound management division of London-based Smith & Nephew...    More

Image

Onex buying packaging group SIG Combibloc

November 24, 2014 9:05 am ET

ex Corp. will buy SIG Combibloc Group, the Switzerland-based manufacturer of aseptic carton packaging and plastics closures from New Zealand's Rank...    More

Image

Canada's Papp Plastics is eyeing big opportunities with JV in Mexico

November 24, 2014 4:11 pm ET

Canadian injection molder and turnkey solution provider Papp Plastics & Distributing Ltd. will open an $11 million to $12 million joint venture facili...    More

Market Reports

Plastics in Brazil - State of the Industry Report

This in-depth report examines the Brazilian plastics industry from a historical and geographical context. Our analysts provide insight on economic trends and forecasts, growing manufacturing sectors that utilize plastics, private investment opportunities, market environment challenges, and innovations in R&D.

Data tables and charts on producer prices, trade, plastics production and end market indicators is also included.

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

Injection Molders Market Report & Ranking 2014

This special package contains our 132-page 2014 Market Report on the Injection Molding segment and our exclusive 2014 RANKINGS database of 500+ Injection Molders for a discounted package price.

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