Saudi center orders 15 Kautex machines
BONN, GERMANY - Kautex Maschinenbau GmbH got an order for 15 of its KCC10 extrusion blow molding machines from a vocational training center in Saudi Arabia.
The 15 machines, along with 45 molds, were installed at the new Higher Institute for Plastics Fabrication in Riyadh, a joint project between Saudi Arabia and Japan. The school officially will open in September, training about 600 Saudi students in all fields of plastics processing, as well as servicing and maintenance of plastics machinery.
The institute will be equipped with a total of 70 plastics processing machines.
Each machine came with three molds - one for a round bottle, an oval bottle and a round bottle with a handle.
Kautex is based in Bonn.
Carmaker Fiat eyes auto parts molder
TURIN, ITALY - Carmaker Fiat SpA is preparing to acquire financially troubled Italian plastic auto parts molder Ergom Holding SA to secure vital component supplies for its vehicle production.
Turin-based Ergom makes a range of injection molded parts such as bumpers and control pedals. The company employs 4,000 at 11 facilities, including three in Italy and others in France, Poland, Turkey and Brazil.
Ergom is a key Fiat supplier providing bumpers for the group's new Ducato van. The molder has been in severe financial difficulties for some time, and a pay strike there early this year cost it 33 million euros (US$44.5 million) in profit, according to reports in The Financial Times of London.
The supplier acquisition is one of several deals Turin-based Fiat has been planning or completed recently. A year ago, Fiat helped bail out supplier C. F. Gomma SpA, a rubber products manufacturer based in Passirano, Italy, after Fiat was hit by the effects of a strike there.
Now the automaker has made an offer to buy out another of its Italian parts suppliers Teksid Aluminum srl in Carmagnola, near Turin. Teksid Aluminum is also a firm burdened by financial losses.
The takeover of Ergom, for which Fiat said it will pay a nominal price, should be concluded in September, following antitrust clearance.
Intertape to restart mothballed extruder
ST. LAURENT, QUEBEC - Packaging producer Intertape Polymer Group Inc. plans to restart a mothballed extruder to cut costs.
Melbourne Yull, Intertape executive director, said in a conference call that the company is commissioning an extruder at an undisclosed location in the United States. The machine should be operating in the third quarter.
``The spread between resin and film costs makes this a very attractive move,'' Yull told analysts Aug. 13.
Intertape purchased more than 12 million pounds of film from third parties since the extruder has been shut down.
Yull outlined several programs to help Intertape's profitability after shareholders blocked an agreed-to sale of the company to Littlejohn & Co. LLC. Shareholders turned down the sale proposal at a June 28 annual and special meeting.
Intertape will try to avoid extra handling costs by shipping some products directly to customers. The firm plans to improve productivity in final finishing steps in tape production. Some products will go to seven-day production to optimize capacity utilization. As well, the firm raised prices on a third of its lineup.
The company expects to raise C$86.3 million (US$80.9 million) through a recently filed shareholders rights offering and will use the funds to pay down debt.
To boost sales, Yull said the company plans new product introductions in house wrap, roof underlay and structural fabrics.
St. Laurent-based Intertape reduced its second-quarter loss to US$8.1 million, from a loss of US$18.2 million a year earlier. Second-quarter sales, at $187.1 million, were 14 percent lower than the year-ago period.
FormaShape acquires Par's five-axis router
KELOWNA, BRITISH COLUMBIA - Composite fiberglass maker FormaShape is boosting its manufacturing capabilities with the purchase of a Par Systems Inc. five-axis router.
``Our capabilities already included design, fabrication of our own molds and the production of high-volume parts using [resin transfer molding] technology. Now we will be able to build our own plugs for these molds. We have effectively internalized our supply chain,'' FormaShape President Peter Jeffrey said in a news release.
The company is spending $750,000 for new equipment and expects the router to be delivered in August and operational in September. ``With this acquisition, we will be able to repatriate work that we are currently outsourcing, thereby eliminating wait times and reducing production costs,'' Jeffrey said.
The router provides for automated milling and fabrication of three-dimensional objects and, according to the company, can be used to build three-dimensional shapes ranging in size from a basketball to a 40-foot boat hull.
FormaShape operates out of an 80,000-square-foot plant in Kelowna. It is ISO 9001-certified. FormaShape is known for its work in fiber-reinforced plastics used for architectural products, having worked on the renovations of Petro-Canada gas stations as well as other major projects.
Nordson buying maker of dispensing system
WESTLAKE, OHIO - Nordson Corp. is paying about $45 million to buy TAH Industries Inc., a manufacturer of motionless-mixer dispensing systems for two-component adhesives and sealants.
TAH is based in Robbinsville, N.J., and employs 180. It designs and produces disposable plastic mixers and cartridge dispensing systems, meter mix dispensing valves and accessories. It now will operate as part of Nordson's EFD Inc. within its Advanced Technology Systems segment.
``TAH Industries complements Nordson's core manufacturing capabilities in the area of precision injection molding, as well as our experience of working with material formulators around the world,'' said Edward Campbell, chairman and chief executive officer of Nordson, in a news release.
He added that TAH's presence in life sciences markets complements Nordson's offerings, including surface treatment and dispensing.
TAH moved to a new, 90,000-square-foot facility in December 2001. Its products are used in the dental, construction, automotive, life science, food, marine and aerospace industries.
Publicly traded Westlake-based Nordson said the acquisition price is subject to adjustment.
For the 12 months ended July 31, TAH had sales of about $24.5 million. Sales grew an average of 16 percent from 2004-06, the company said.
Nordson's dispensing equipment is used to apply adhesives, sealants and coatings to a range of products. The company also makes equipment for testing electronic components, and systems for curing and surface treating.
Nordson employs a total of 3,900 in 30 countries.