Preformed Line Products Co. of Cleveland has acquired Maxxweld Conectores Elétricos Ltda, a Brazilian maker of substation connector systems and accessory hardware.
A news release stated that the deal will "greatly expand PLP's operational and technical capabilities in the region while supporting its overall global substation strategy." Preformed Line Products makes and supplies products like cable anchoring and control hardware for such industries as telecommunications and power utilities. Its manufacturing operations include in-house injection molding.
A filing with the U.S. Securities and Exchange Commission offers some more details. The acquisition was completed by a wholly owned subsidiary of Preformed Line Products, listed in the filing as PLP-Produtos Para Linhas Preformads Ltda. The filing notes that the consideration paid was 63 million in Brazilian real, or about $11.2 million, as of the closing date for the deal. The deal is subject to a holdback of BRL 10 million, or about USD $1.8 million, the filing said.
"The acquisition of Maxxweld further enhances the operational reach of our global substation business and brings with it a great team of talented people that will be critical for expanding our substation business in South America," Preformed Line Products president and CEO Rob Ruhlman said in the release. "The addition of Maxxweld to our global substation group will significantly expand our ability to service our utility customers throughout the region and globally."