Custom and proprietary injection molder Dimco-Gray Co. expanded in thermoset auto parts business by acquiring Plastic Moldings Corp.'s Brake Division in East Enterprise, Ind.
The former PMC business has compression molding presses with clamps up to 450 tons. The acquisition allows Dimco-Gray to pursue applications for larger thermoset parts, according to Donald Eadie, Dimco-Gray's marketing manager.
Dimco-Gray does thermoplastic and thermoset molding at its Centerville, Ohio, headquarters plant.
Dimco-Gray recently expanded its Centerville plant and acquired metal processor Patton Screw Products of Waukegan, Ill. Patton fits Dimco-Gray's proprietary plastic knob and handle business by making metal parts that Dimco-Gray formerly outsourced, Eadie said by telephone. Dimco-Gray insert molds metal studs in its knobs and handles.
The East Enterprise operation mainly compression molds parts for automotive hydraulic brake systems for major auto companies and for the aftermarket. Although Dimco-Gray has been active in automotive applications, the acquired business is its largest stake in that market. Dimco-Gray will keep the East Enterprise operation open and rename it DGC-Plastic Molding.
Officials did not disclose terms of the May 21 deal or sales of the respective companies. Investment banker Brookwood Associates of Charlotte, N.C., assisted in the transaction.
PMC Chairman and Chief Executive Officer Thom Gerdes said his firm will continue to pursue growth in automotive, information technology and telecommunications markets through internal growth and acquisitions. PMC still does specialty thermoset molding and thermoplastic insert molding at its Cincinnati headquarters plant and with its main thermoplastic injection molding operation in Shelbyville, Ind. PMC's presses range up to 400 tons, Gerdes said in a telephone interview.
Dimco-Gray said the recent acquisitions boost its employment to about 205 from the previous level of 140. They more than double sales compared to 1997 levels.
Dimco-Gray is ISO 9001 registered and expects to achieve QS 9000 certification by the end of the year. The employee-owned company custom molds and has lines of proprietary knobs and handles, timers and fasteners.
Gerdes said the Brake Division was a relatively small part of PMC's sales.