Nordson Corp. has entered into an agreement to buy Extrusion Dies Industries LLC, which makes flat dies and extrusion coating dies.
Westlake-based Nordson said May 21 that it is paying $200 million for EDI Holdings Inc., but the final price is subject to adjustment, as provided in the purchase agreement.
Publicly traded Nordson will buy the Chippewa Falls, Wis.-based die maker from private equity firm Bertram Capital Management LLC of San Mateo, Calif. The deal is being financed under Nordson's existing $500 million revolving credit facility. It is expected to close in the third quarter.
Bertram bought EDI in late 2010 from a group headed by four investors who led a management buyout in 2003.
Nordson makes equipment to precisely apply industrial liquids and powder coatings, surface treatment, adhesives and sealants to a range of consumer and industrial products. Michael Hilton, Nordson's president and CEO, called EDI “a clear fit with our strategy of acquiring companies that provide differentiated precision technology at a key part in the supply chain to deliver profitable long-term growth.”
He said Nordson and EDI both make equipment critical to companies for optimizing productivity and up-time.
Hilton added that EDI complements Nordson's existing line of extrusion dies.
EDI employs about 317. It will operate as Nordson's Adhesives Dispensing Systems segment.
EDI makes dies for flexible packaging and converting.