Pexco LLC, the largest custom industrial extruder in North America, continues to grow by acquisition with its second deal in two weeks, buying Bally, Pa.-based HPE Extrusion Solutions.
Pexco recently relocated its corporate office recently to Johns Creek, Ga., from Alpharetta, Ga., after being acquired itself by the private equity firm AEA Investors in 2018.
HPE, founded in 1972 as Hunsinger Plastic Extrusions, began as a contract manufacturer of extruded profile products before offering complex shapes and sizes of tubes and rods for the HVAC, automotive and utility markets, with a customer base including many Fortune 500 firms.
HPE's five decades of experience made it an attractive business to acquire, Pexco CEO Sam Patel said in a news release.
"HPE's competencies blend very well with Pexco's long-term strategy to continually enhance our capabilities as a premier custom extruder through ongoing product and process innovation, enabling us to deliver even greater value to our customers," Patel said.
The HPE acquisition is the fifth deal for Pexco under the ownership of AEA Investors, and it won't be the last.
"We remain committed to the ongoing pursuit of acquisitions that fit our core objectives and expand our suite of capabilities as the largest custom plastics solutions provider in North America," Patel said.
With estimated sales of $210 million, Pexco ranks 22nd among pipe, profile and tubing extruders, according to Plastics News' latest ranking of North American businesses. The company has plants in the U.S. and Mexico extruding and injection molding plastic products for industrial, lighting, traffic safety, fence, filtration and electrical insulation markets.
The HPE deal comes two weeks after Pexco acquired American Extruded Plastics Inc. and American Injection Molding Inc., which operate from the same facility in Greensboro, N.C., as a part of its strategic growth plan.
Under AEA Investors' ownership, Pexco also acquired Insultab Inc., a manufacturer of heat-shrinkable and nonshrink tubing products in Woburn, Mass.; the fence products business of Polyform Inc.; and Custom Extrusion Inc., which has sites in Sheffield, Mass., and Asheboro, N.C.