Sweden's KB Components AB is expanding in North America by purchasing injection molding companies in Toronto and Dallas.
The Örkelljunga, Sweden-based company on Dec. 4 announced the purchase of Innotech Precision Inc., an injection molder located in Toronto that focuses on functional and highly-complex plastic components for industrial and automotive applications.
Innotech employs 60 and uses electric injection molding machines with automation. It does horizontal and vertical injection molding.
That deal follows last week's purchase of QT Industries LLC, a Dallas-based injection molder and contract manufacturer.
Chicago-based Blaige & Co. was the exclusive adviser to Innotech. No terms of either deal were disclosed.
On the Innotech purchase, both the buyer and the seller said that the two companies are a good fit.
"Not only does Innotech fit due to its high-quality standards and expansive capabilities, but also due to the fact that it provides us with access to target customers and markets, which were previously not available to us," David Ulrich, president of KB Components Canada Inc., said in a news release.
Innotech was founded in 1972 as Noma Tooling, a subsidiary of Noma Industries Ltd. Rudy Koehler Sr. acquired the division from Noma Industries in 1994.
Speaking about KB, current Innotech President Rudy Koehler Jr. said "not only are our business philosophies consistent, but my family's European lineage from Germany is highly compatible with the Swedish legacy of KB."
He said Innotech has had "serious preemptive offers for the company," adding that Blaige identified a partner that offered both a premium purchase price and a perfect cultural fit.
KB specializes in design, development and manufacturing of high-quality plastic components. It has 10 molding plants in six countries, and serves automotive, medical and consumer goods customers.
Tampa, Fla.-based Benchmark International represented QT Industries LLC in its deal with KB. The company said that deal "signifies a strategic expansion for the team at KB Components and further establishes their foothold in their geographic area."
"The business will thrive and add support in functions that fit well into their overall capabilities," Anand Patel, owner and chief financial officer of QT Industries, said in a news release.
QT Industries was established in 2011 by its current ownership. It specializes in injection molding, custom tooling, prototyping and precision computer numerically controlled machining.
Earlier this year, KB expanded in the U.S by purchasing QFC Plastics Inc. in Arlington, Texas, an injection molder of disposable medical devices. That deal marked KB's first in the United States.
KB also expanded in North America in 2021, when it acquired Lakeside Plastics Ltd. in Windsor, Ontario.
Plastics News ranked at No. 75 in the most recent survey of North American injection molders, with sales of $130 million. The company
The parent company had estimated sales of $200 million.