In a move that joins two makers of custom fabricated gaskets and sealing products, LTI Flexible Products has acquired Boyd Corp.
The deal was announced Aug. 1 by Sentinel Capital Partners, a New York private equity company that owns LTI. The combined company generates sales of more than $150 million, said Sentinel Vice Presdient Scott Perry.
Perry said Sentinel bought Boyd from another private equity firm, Stonebridge Partners of White Plains, N.Y., which purchased Boyd in 1998. “They're very complementary businesses, and you end up with a very strong footprint in North America and globally as well,” he said.
The renamed company, LTI Boyd, is based in Modesto, Calif., at Boyd's headquarters plant. Boyd also has manufacturing in Portland, Ore.; Gaffney, S.C., and Shenzhen, China.
LTI runs four plants in Rogers, Minn., Fairburn, Ga.; Elkhart, Ind.; and Spokane, Wash. Perry said all the locations will remain open.
Boyd CEO Mitch Aiello now serves as CEO of LTI Boyd.
LTI makes extruded, die-cut and molded flexible plastic and rubber-sealing systems and related components, used by manufacturers of recreational vehicles, heavy trucks and agricultural and construction equipment. Boyd serves the heavy-truck, aerospace and medical markets by making seals and gaskets that give electromagnetic, acoustical and electrical shielding and thermal insulation.
Perry said LTI is primarily an extruder of plastic and rubber sealing that also does some converting and die-cutting. Boyd is much stronger in converting and die-cutting, he said. Perry said LTI and Boyd have both acquired other sealing-products makers to build their groups. The industry sector is fragmented, he said.
Sentinel Capital Partners focuses on acquiring lower middle-market companies in the U.S. and Canada, targeting firms with earnings before interest, taxes, depreciation and amortization of between $7 million and $35 million.
