Injection molder Stepco Corp. is selling its assets to Vision Molded Products Inc. of Elgin, Ill. Stepco's building in Arlington Heights, Ill., is for sale, company officials said.
Vision Molded Products, an injection molder and finisher owned by metal components firm JJD Industries Inc. of Schiller Park, Ill., still is in negotiations for the equipment. Officials expect to finalize the deal over the next two weeks. Stepco has 38 presses, from less than 100 tons to 749 tons, in its headquarters plant, its sole production site.
Vision also plans to hire select key employees from Stepco, adding them to a base of about 50 employees at its own Elgin molding site. About 10 employees remained at Stepco's facility as of Aug. 24, officials said.
Stepco earlier this month announced plans to shut down. In an Aug. 25 telephone interview, Chief Executive Officer John Wyle cited the reasons as ``internal and personal.'' He would not elaborate.
Stepco filed a layoff notice with the state on July 27, blaming a lost account.
``We're looking for [companies like] Stepco before they get in the state they're in,'' said Jeff Kurgan, a Vision corporate director. ``We're growing. We've got financial resources for growth organically and through acquisition. We've pretty much isolated what we believe are products that are not moving offshore and growing. There are a lot of opportunities for U.S. molding if you find the right products.''
Vision will focus on Stepco's strengths in automotive, aerospace and consumer products. Vision currently operates with about 20 injection presses.
According to Plastics News' ranking of North American injection molders, Stepco had $18 million in sales for its fiscal year ended Oct. 31. Kurgan would not disclose Vision's sales.
Vision Molded Products has been in business since 1995. JJD Industries, which makes metal components for several industries including automotive and consumer, acquired Vision Molded Products in March.