Aero Housewares LLC has a new owner. The injection molder in McDonough, Ga., has been acquired by Best Plastics LLC of Tenafly, N.J.
News of the sale broke at the International Home and Housewares Show, held March 16-18 in Chicago.
``We are excited about it,'' said Steven Waugh, Aero's director of sales and marketing. ``The new owner will provide Aero with financial support that has been lacking to improve efficiency.''
Terms were not disclosed. Best Plastics was founded in 2007, and, like Aero, makes storage containers. Waugh said the two companies' customers do not overlap.
The new owner is keeping the name of Aero Housewares for now, Waugh said in a follow-up telephone interview, adding, ``We are still deciding.''
Waugh said Best Plastics will have four manufacturing locations: McDonough; Tenafly; St. Louis; Leominster, Mass.; and California. Aero's 500,000-square-foot plant in McDonough employs about 400.
The addition of Aero will bring in additional molds, including multicavity ones and new machinery. That will help Aero improve productivity, with shorter cycle times, quicker turnaround, and better position the firm for raw-material purchases, Waugh said.
``It will be a win-win situation,'' he said.
Waugh said the company will duplicate molds per customers' request at different facilities, so that a product can be manufactured at different locations, close to the regional markets.
Best Plastics and Aero will integrate their product lines. Aero has experience in that area - in 2005 and 2006 it acquired product lines from defunct StyleMaster Inc. and Holiday Housewares LLC.
``We hope to be a stronger No. 3 player within the [housewares] industry. It will be good for the industry, which needs a third major player to offer consumers more options,'' Waugh said.
The new chairman of Aero is Michel Buchbut. Waugh said there are no other personnel changes to disclose at this point.
Aero was acquired by Arko of Tel Aviv, Israel, in November 2006. But Arko recently announced that it was looking for a buyer for Aero, after Arko was pressed to pay back a $4.1 million loan to Plenus Venture Lending Fund of Herzeliya, Israel.
Aero generated sales of $72 million in 2007, up from ``low-40s'' in 2006, Waugh said.