Renaissance Plastics Co. has purchased its third facility, Amplaco Inc., a Rochester, N.Y., custom molder and assembly house.
The deal gives Renaissance more than $100 million in sales from Amplaco and the two companies it purchased in 1998, Ultra Tool & Plastics Inc. of Amherst, N.Y., and Nylomold Corp. of Rochester. Terms of the recent purchase were not disclosed.
Renaissance formed last year with Cleveland-based Key Equity Capital as its prime investor.
Amplaco's strong assembly and secondary operations — which include sonic welding, printing and hot stamping — are important, and its molding capabilities fit in with Renaissance's, said Joseph Betro, president of Hudson, Ohio-based Renaissance.
``Original equipment manufacturers are looking to shrink their supplier base and have suppliers do more,'' he said.
With Amplaco's more than 40 injection molding machines, Renaissance will have about 150 presses, with clamping forces of 25-1,000 tons. Amplaco employs 300 at its 85,000-square-foot plant.
Betro said his firm does not have specific plans for Amplaco except to expand business there.
``In terms of business strategy, this move will help position Renaissance Plastics more deeply into the business/office machine manufacturing industry, as well as the medical and automotive markets,'' Betro said.
Amplaco brings contracts from Xerox Corp., Eastman Kodak Co., Johnson & Johnson, Borg-Warner Automotive, Welch Allyn and Ithaca Peripherals Inc.
Renaissance also works in the telecommunications and niche consumer products markets.
Betro was vague about the company's future acquisition plans, but said Renaissance will keep looking for more molders in the Great Lakes area and wants to beef up its design capabilities.
``Clearly an element of the Renaissance Plastics business strategy is to enhance our rapid prototyping and product design and development,'' he said.
Family-owned Amplaco approached Renaissance about selling the company, Betro said.
``There is a lot of consolidation in the industry,'' said Warren Hasman, Amplaco vice president. ``It's more and more difficult to be a stand-alone molder.''
Hasman's brother Cal had been Amplaco president, and other family members were stockholders.
Betro said the current management of Amplaco will remain.