SciTech Plastics Group LLC has added a custom injection molder to its fold by purchasing JD Industries Inc. of Sterling, Mass.
"We are very pleased with the acquisition, as it continues our thrust into molders of highly engineered medical parts," said Wally Meyer, president and chief executive officer of SciTech in Kansas City, Mo.
Meyer talked about the purchase in a Feb. 20 telephone interview but would not disclose terms. He said JD Industries will enable SciTech to produce more highly engineered, tight-tolerance products.
"Since we owned Accutech, it seemed like a natural fit," he said, pointing to SciTech's January 2000 acquisition of another Massachusetts company, Accutech Plastics Inc. of Marlborough.
JD Industries operates in two facilities in Sterling. It has a 25,000-square-foot production facility and a 15,000-square-foot warehouse. The company employs 45 and runs 11 presses with clamping forces of 250 tons and less.
"JD does two things: They are a terrific molder, and second, they also provide secondary operations in assembly and packaging and do so in a highly automated fashion," Meyer said.
The company has been run by founder and President John DiMarzio, his brother Steve and their mother Patricia. Meyer said that management team will remain intact, as has been SciTech's tradition in other acquisitions.
SciTech was founded in mid-1998 and operates three other injection molding plants: Golston Co. in Songer, Texas; Day's Molding and Machinery LLC in Constantine, Mich.; and Accutech Plastics Inc. in Marlborough.
SciTech employs about 250 and has a total of 80 injection molding presses.
The company posted 2000 sales of $30 million.
SciTech's strategy, according to Meyer, has been to purchase well-run injection molding companies and allow them to operate as stand-alone businesses.
The parent company invests in so-called scientific production processes, including upgraded machinery, information systems, training and marketing, to help the acquired companies.
"We believe in scientific injection molding. It's a tried and proven way to decrease consumption and cycle time for higher yields and increased quality," Meyer said.
As an example, he pointed to Day's Molding, where he said sales are up 40 percent and profit up 33 percent since the purchase.