03 October 2006
03 October 2006
The Genlyte Group Incorporated has reached an agreement to acquire the assets of Carsonite, a subsidiary of Omega Polymer Technologies, as part of a restructuring being undertaken by Omega.
Larry K. Powers, President and Chief Executive Officer of Genlyte commented, ""We are pleased with the strategic benefits of this acquisition. This business will complement Genlyte's current Shakespeare Composite Structures product offerings in the utility, roadway, park and recreation markets. We plan to operate the Carsonite business reporting to Bill Griffin, the General Manager of Genlyte's Shakespeare Composite Structures division. The anticipated annual sales for 2007 will be approximately $12 million and we anticipate that the acquisition will be accretive during 2007 after we complete restructuring activities.""
Bill Griffin said, ""The Carsonite product lines for the electric utility, telecommunications, water, sewer, gas and oil, roadway, and park and recreation markets will extend our offering to these markets. This transaction is an excellent opportunity for the customers, representatives, and employees, of Carsonite to be associated with one of the most highly respected commercial lighting and composite poles businesses in North America. The Carsonite facilities have operational synergies with our composite pole and pultrusion operations located in Newberry, SC and Largo, FL.""
The Carsonite business segment purchase price includes a cash price of $2.85 million plus the estimated value of approximately $1.6 million for inventory and accounts receivable. Carsonite has one owned factory located in Varnville, SC and one leased factory located in Early Branch, SC.