Germany's Röchling Group is expanding its base in North America with the acquisition of molder and mold maker Advent Tool & Mold Inc.
Advent, based in Rochester, N.Y., will become part of Röchling Engineering Plastics KG of Haren, Germany, which sells finished and semi-finished products in sheet, rod and profiles as well as machined plastic parts. The addition of injection molder Advent will increase Röchling's offerings for the medical industry, the company said in a June 1 news release.
Terms of the deal were not disclosed.
"This acquisition allows us to significantly expand the position of Röchling as a provider of sophisticated plastic products for the life-science industry," said Chief Operating Officer Ludger Bartels. "In addition, we expect the acquisition to translate into synergies with other Röchling subsidiaries which cater to the life-science industry."
Röchling Engineering Plastics already has U.S. sites, in Texas, California, Ohio and Wisconsin. A sister company, Röchling Automotive Plastics, has also been expanding in the United States.
Advent has 250 employees and $35 million in annual sales. Founder Ken Desrosiers will remain with the company as general manager while Lewis Carter, president of Röchling Engineering Plastics North America will become president of Advent Tool.
Advent invested $2.2 million in a second clean room for molding in 2011 and has both insert and two-shot molding. It began as a mold maker, and its capabilities in tooling will be "a particular competitive advantage" for Röchling, giving it an ability to find new solutions for production, Röchling said in the release.
Tooling expertise — along with the need for increased production capacity in a resurging production market — has been a driver in a new interest in acquisitions of mold makers, said Jeff Mengel, a partner with consulting group Plante & Moran PLLC, with offices in Chicago.
"We're seeing more processors who want to make [tooling] a strategic component and a strategic asset and doing the [research and development] side of things."