Core to buy thermoset molder Premix
Columbus, Ohio - Core Molding Technologies Inc. has signed a deal to buy fellow thermoset specialist Premix Holding Co., in a move to diversify its customer base.
Columbus-based Core produces sheet molded compound and molding fiberglass for the transportation industry, with sales to commercial truck makers and auto suppliers. Premix, based in North Kingsville, Ohio, produces thermosets and molds fiberglass for a variety of industries.
``We believe the acquisition of Premix strongly supports our market diversification strategy and helps mitigate the cyclical nature of our existing businesses,'' said President and Chief Executive Officer James Simonton in a Nov. 8 news release.
The firms did not disclose the purchase price, but said they expect to complete the deal in early 2007. Premix has about $75 million in annual sales. Core said it expects to continue running Premix's operations in North Kingsville and Bay City, Mich.
Core reported $124 million in sales for the first nine months of 2006, up from about $97.8 million for the same period in 2005.
Adalis adding thermoformer for R&D
VANCOUVER, WASH. - Packaging developer Adalis Corp. will strengthen its abilities in plastics with the addition of a thermoforming machine in its new prototype center.
Vancouver-based Adalis is expanding its satellite operation in Minneapolis to include the prototype center, said marketing communications manager Renee Wilson. The center has begun operations and will open officially in January, she said by telephone. The center will provide packaging advice to firms in retail, industrial and medical markets.
Wilson said Adalis has included thermoforming in its packaging research, but until now has relied on thermoforming companies to build prototypes for Adalis customers.
Rehau opening new facility in Mexico
LEESBURG, VA. - Rehau Inc. is expanding its presence in Mexico by leasing a 28,000-square-foot extrusion and fabrication plant in Monterrey.
A new contract with Whirlpool Corp. to supply refrigerator door gaskets prompted the expansion, but Rehau officials indicated they will explore other markets as well. Whirlpool has plants in Abodaca and Ramos Arizpe, Mexico.
Leesburg-based Rehau is investing about $4.5 million in the project, which includes a 16,000-square-foot warehouse. The plant employs 70, a number that is expected to double in the next two years. Rehau also operates a plant in Celaya, Mexico.
The refrigerator gaskets are extruded flexible PVC profiles that are fused at the corners to frame the appliance's doors, said Bernd Kupferer, business team manager for Rehau's appliance group. Rehau also will explore expanding its role as a supplier to appliance makers, he said Oct. 20 by telephone.
``The appliance industry will see strong growth in Mexico related to the move of manufacturing capacity into Mexico,'' he said.
Spokeswoman Jennifer Parker said there also is potential to manufacture cross-linked polyethylene pipe in Monterrey.
K-Tron buys China feeder manufacturer
PITMAN, N.J. - U.S. auxiliary equipment maker K-Tron International Inc. has bought a Chinese maker of feeders, Wuxi Chenghao Machinery Co. Ltd., in a bid to expand into the domestic Chinese market.
K-Tron now sells mainly to international companies in China but Wuxi will give it a foothold in the growing local market, with equipment made there and sold in local currency, said Edward Cloues, K-Tron's chairman and chief executive officer.
Pitman-based K Tron said in the Nov. 1 announcement it expects to pay US$3.5 million over the next five years for certain assets of Chenghao, which employs 60 and is based in Wuxi.
K-Tron said it wants to convert Wuxi Chenghao into a wholly owned foreign entity, and expects to retain the current owner, Wang Hongliang, and his management and staff. Chenghao makes volumetric and gravimetric single- and twin-screw feeders and controls, vibratory trays, pelletizers and screen changers.
K-Tron also sees opportunities in China's growing resin manufacturing and compounding businesses, said Kevin Bowen, K-Tron's senior vice president and chairman. The purchase is expected to close in early 2007.
Publicly traded K-Tron had sales of US$118.9 million in 2005.