Cordant Technologies Inc. of Ogden, Utah, has agreed to acquire Jacobson Manufacturing Co. Inc., an injection molder of precision-engineered plastic parts based in New Braunfels, Texas, in a deal valued at $270 million.
``I'm going to be 80 next month and I always said `80 and out,''' Jacobson owner Harvey Jacobson said May 15. ``The company's growing and things are going well, so I figured it was time to go.''
Jacobson is the sole owner of the company, which he founded in 1940.
Jacobson Manufacturing has injection molding plants in New Braunfels; Tempe, Ariz.; and Sanford, N.C. The company produces plastic parts that are used in automotive, construction, consumer product and heavy-equipment applications. The New Braunfels plant runs 40 injection presses, while Tempe runs 22 and Sanford operates 20.
The firm, which employs a total of 700, also is building a fourth plant in Las Cruces, New Mexico, in a partnership with Parkview Metal Stamping Inc. of Chicago.
The company projected 1998 sales of $145 million, about 40 percent from plastics. Jacobson entered the injection molding field in 1989 and also operates metal fastener plants in New Jersey, Pennsylvania and Ohio. It is wholly owned by Harvey Jacobson, who founded the company in 1950.
The acquisition will be grouped with Cordant's Huck International subsidiary. Huck, a maker of high- performance industrial and aerospace fastener systems based in Tucson, Ariz., is expected to make up about 15 percent of Cordant's projected 1998 sales of $2.2 billion.
``Jacobson is a perfect fit with our Huck operation,'' Cordant Chairman and Chief Executive James Wilson said in a news release. The purchase also allows Jacobson to enter ``the rapidly growing market for precision plastic components,'' Wilson added.
The move is part of ongoing diversification at Cordant, which is best known for supplying solid rocket boosters used on space shuttles, Cordant spokeswoman Lauren Sides said.
Cordant, known until recently as Thiokol Corp., also has acquired a turbine engine component maker as part of its makeover.
``Before, we were primarily into defense and space rockets, which is good business, but it's all government business,'' Sides said in a May 15 phone interview from Ogden. ``Our new businesses give us a little more resistance to any changes in any one area of business.''
Harvey Jacobson may stay on with the company as a consultant for a time.