In a California plastics deal, Newport Plastics LLC has acquired injection molder Con-Tech Plastics for $3.6 million.
Brea-based Con-Tech was founded by Dave Crawford and Dan O'Neal in 1984. The firm later was purchased by Ralph Riehl and Vern Meurer, who continue to run the firm. Con-Tech is a contract manufacturer that specializes in precision injection molding.
Newport of Santa Ana was founded in 1971 by Bruce Hale and has been owned by Brand Caso since 2008. The firm is a mold maker that can design, develop, and build prototype and production tooling. Officials said the addition of Con-Tech will increase Newport's production capacity by 50 percent and will double clean room square footage.
They added that both firms have complementary customer requirements and a strong Southern California presence. The combined companies employ 70 in facilities covering 30,000 square feet and have annual sales of $7 million.
The combined firm operates 15 injection molding machines, including 5 in controlled environment clean rooms.
The acquisition is Newport's first. In an email, Caso said Newport "is always looking for new acquisition opportunities, but isn't likely to do another deal in the next 24 months.
"We've combined the best of two great companies," Caso said. "Our customers will realize benefits from this combination and that will lead to continued success."
MBS Advisors of Florence, Mass., represented Con-Tech in the transaction.