Crane Plastics Manufacturing Ltd. has acquired 60 percent of La Follette, Tenn., extruder Profile Solutions Inc. Current management continues to own the remaining 40 percent of the business, which has changed its name to Profile Solutions Industries, said Steve Cork, president of Crane Plastics Manufacturing.
The primarily PVC custom profile extruder will exist as a separate entity under the Crane Plastics Manufacturing umbrella and will be operated by current management, he said.
"We're not just buying the system, we're buying the people," Cork said.
The company currently employs 30 to run its six extrusion lines, said PSI General Manager Tim Tait.
Crane, based in Columbus, Ohio, has no plans to eliminate any positions at PSI, but rather will expand the business, possibly adding several extrusion lines in the third quarter, Cork said.
Crane Plastics Manufacturing is a subsidiary of Crane Plastics Holding Co., which formed Sept. 1 when Crane Plastics Co. split into six business units. Tanny Crane is president of Crane Plastics Holding.
PSI is moving operations from its 12,000-square-foot plant in La Follette to neighboring Caryville, Tenn., where PSI recently acquired a 27,000-square-foot facility for $352,000.
The new building will have plenty of room for expansion, Tait said.
One factor that prompted PSI's owners to sell a share of the 6-year-old company was the possibility of financing for expansion, Tait said. Other advantages were Crane's recognizable name, marketing and technical skills. Meantime, Crane gains a company that can operate at lower costs, Tait said.
"We can make a buck on something that maybe Crane can't," he said.
PSI reported $2.6 million in 1998 sales.