Lomont Molding LLC has added blow molding to its tool kit through acquisition.
The company recently acquired R&D Molders Inc., a Georgetown, Texas, firm that offers blow molding and injection molding services. Lomont did not disclose terms of the deal.
Lomont, based in Mount Pleasant, Iowa, now has three production plants. In addition to the R&D Molders facility and Lomont's head office plant, it also runs an injection molding operation in Reinbeck, Iowa. And while it digests R&D Molding it will expand its warehouse space in Mount Pleasant.
Blow molding was a key attraction for the purchase but geography also was important, Lomont marketing director Carl Frank said in a phone interview.
"We have some key accounts in [the Georgetown area] and from a logistics standpoint the acquisition made sense," Frank explained.
Lomont's capabilities now span several plastics processes. In addition to its core injection molding business and recently acquired blow molding assets, it offers structural foam molding, profile extrusion, gas-assist molding and overmolding, as well as in-mold decorating and a variety of assembly and secondary services.
"We will be able to address the logistical needs of our customer base while enhancing our production capabilities through R&D's solutions-based commitment to quality," said Lomont President Jason Bender in a news release.
R&D Molders was owned by the Brown family since it was founded in 1974 by Cavett Brown. It takes pride in landing unusual plastics jobs which grew from its initial work molding water canteens for the U.S. Army. That program required both blow molding and injection molding to make the canteens.
Lomont also counts in-mold labelling as an important part of its business. Its IMT division specializes in molding industrial safety signs, equipment tags and related items that face tough workplace conditions. Lomont uses a special copolymer film label that is molded into the part during molding. Unlike conventional label materials, Lomont's labels and special inks stand up to factory environments that quickly destroy most labels.
Lomont's main markets are in various industrial sectors. R&D Molding expands the industrial customer base and adds some consumer products contracts.
Lomont's sales have grown to more than $65 million per year with the acquisition. It now manages 70 injection presses with clamps from 100 to 2,100 tons and 15 blow molding machines. Employment has risen to about 260. Franks said the Georgetown operation will be expanded with several large injection presses and more blow molding machines to be located in another building across the street from the main Georgetown facility.
Lomont has broken ground for new warehouse space adjacent to its Mount Pleasant facility. When the project is done this summer it will have about 75,000 square feet of space for warehousing and parts packaging. The $2.6 million project qualifies for tax benefits approved by the Iowa Economic Development Authority. The expansion will free up space to add more molding machinery but Frank said it is too early to discuss details.
Greg Brown II will continue with the Georgetown operation as vice president and holds a financial interest in the combined businesses.
“We evaluated different options but Jason Bender showed us that Lomont has the same strategies and core values as R&D,” Brown said by phone.