ANN ARBOR, MICH. - JPE Inc. is negotiating to buy Plastic Trim Inc., a profile extruder that recorded 1994 sales of about $60 million. Plastic Trim of Dayton, Ohio, extrudes PVC exterior trim for cars and light trucks. Ann Arbor-based JPE makes and distributes metal car and truck parts for original equipment manufacturers and the aftermarket.
The publicly held company reported sales in 1994 of $70.1 million.
The companies, which signed a letter of intent in late March, are conducting due diligence, and expect the deal to close by mid-April, Craig Homan, JPE vice president and chief financial officer, said March 31.
Plastic Trim employs about 190 and operates 14 lines at its 104,000-square-foot plant in Dayton, according to company spokesman Steve Short. The firm supplies Big Three automakers and their customers, Short said April 3.
A labor contract with its United Auto Workers local expires in October 1998, he said.
In December, JPE entered the plastic extrusions market by acquiring Starboard Industries Inc., headquartered in Auburn Hills, Mich.
Starboard coextrudes plastic components used in wheel and fender wells for automotive OEMs, but the bulk of its business is in metal car parts.
Starboard's 1994 sales were about $31 million.
At that time, Homan said JPE was interested in acquiring other automotive plastics operations in extrusion and injection molding, to complement its existing businesses.
Plastic Trim is owned by 35 employees, all managers.