Novi, Mich.-based injection molder Revere Plastics Systems LLC is growing through acquisition again, buying Ferguson Production Inc.
Adding Ferguson's plant in McPherson, Kan., gives Revere a total of nine locations, all in North America.
"We plan to continue operating Ferguson Production much as they currently have been and build upon their great growth track record," Doug Drummond, Revere's vice president of sales and marketing, told Plastics News.
"The synergies between Ferguson customers and other Revere locations is already beginning to provide value for our customers: In the next few weeks, our Ankeny, Iowa, facility will begin producing and shipping new products that will support one of Ferguson's customers. This will lead to several new hires and is a precursor of the type of growth that Ferguson can help bring to Revere and vice versa," Drummond said.
Revere CEO Glen Fish added in a news release that adding Ferguson fits his company's growth and diversification strategy.
"We are thrilled to have another facility in a new geographic region with new end markets and robust customers," Fish said. "We look forward to working with [President] Scott Ferguson and his team to continue to grow both the Ferguson facility as well as Revere by offering Ferguson's customers access to Revere's multiple facilities to support them in other regions."
MBS Advisors of Florence, Mass., represented Revere in the transaction, which closed July 2. Terms were not disclosed.
The deal comes six months after Revere's acquisition of its first manufacturing facility in Mexico. On Dec. 30, Revere announced it had purchased Rochester, N.Y.-based Alliance Precision Plastics Corp.'s maquiladora Alliance-McAlpin NY LLC, and its subsidiary, Alliance-McAlpin MX.
Revere has been owned by French private equity firm Ardian since 2017. At the time, Revere had four molding plants and Ardian officials said they expected it to be a platform for growth. With the Ferguson deal, the company has made four acquisitions and added five facilities in just over two years.
In addition to McPherson, Ankeny and Saltillo, Revere has plants in Auburn, Ala.; Fraser, Mich.; Jeffersonville, Ind.; Poplar Bluff, Mo; Clyde, Ohio; and Brampton, Ontario. Revere ranked No. 40 in Plastics News' recent survey of North American injection molders, with estimated sales of $230 million.
Part of the driving force behind Revere's acquisition strategy has been to diversify its customer base beyond its traditional focus on the appliance industry.
Ferguson's 66,000-square-foot molding plant has 36 injection presses ranging from 55-1,750 tons of clamping force, according to Revere. Key end markets include agriculture, automotive, consumer, lawn and garden, pet care and recreational vehicles.
The company also has 80,000 square feet of warehouse space that it uses as a distribution center for customer inventory.
"We are very proud of the business we have built since my father, Norlan Ferguson, founded the company in 1974 and since I purchased it in 2011," Scott Ferguson said in a news release. "Our team has been able to grow the company and, with the resources that Revere brings to the table, we will continue this growth while delivering for our customers and stakeholders."
Drummond said Revere will benefit from Ferguson's experience with IQMS enterprise resource planning (ERP) software. He said Ferguson was one of IQMS' original beta sites, and Revere officials "believe there is a lot of benchmarking they can offer to the Revere facilities."
He added: "Revere uses IQMS companywide, so any efficiencies that could be gained from benchmarking with Ferguson could be multiplied times eight as we adopt them throughout our organization."