19 December 2007
19 December 2007
Wausaukee Composites has acquired Nero Plastics, Inc. of Owosso, Michigan.
Nero Plastics is a custom moulder of low and medium volume structural plastic and composite components. The Company provides product design, prototyping, tooling, and manufacturing solutions to its customers from a variety of moulding processes, including Resin Transfer Moulding (RTM), Vacuum Assisted Resin Transfer Moulding (VARTM), Sheet Moulding Compound (SMC), Liquid Composite Moulding (LCM), and Reaction Injection Moulding (RIM). Nero Plastics serves original equipment manufacturers (OEM’s) in the heavy equipment, mining, heavy truck, mass transit, medical, and sporting goods industries. Nero Plastics is based in Owosso, Michigan, where it has approximately 180 employees in two facilities. Nero Plastics reported sales of $17.5 Million in 2006.
Commenting on the acquisition, David Lisle, President and CEO of Wausaukee Composites, said, “We have developed great admiration and respect for Nero Plastics’ technical moulding competencies over the years, and we are fortunate to now have the opportunity to combine Nero’s strengths with our own in the marketplace. The combination of Wausaukee Composites and Nero Plastics will be highly complementary. Nero Plastics brings additional capacity with respect to our core composites moulding capabilities, and also provides additional competitive strength in some moulding processes where Wausaukee Composites has limited experience. This business combination will expand the array of comprehensive structural plastic moulding solutions that Wausaukee Composites provides to its Global Fortune 500 customer base.”
Brad Faber, Chairman and Founder of Nero Plastics, will stay with the company until 2008, in order to ensure a smooth and seamless transition to new ownership. “Brad Faber built a well-admired company in Nero Plastics, and he has made tremendous contributions to the composites industry since he founded Nero in 1980. I am proud and honoured to accept the Nero torch from Brad, and we are looking forward to taking the company to new levels of success in the future,” said Lisle. Also related to this transaction, Kevin Hughes has been named Vice President, Wausaukee Composites - Owosso Division.
This strategic acquisition will accelerate Wausaukee Composites’ growth in the North American structural plastics marketplace. Wausaukee Composites anticipates adding jobs at Nero’s Owosso facility over the coming years. “We are continuing to expand our manufacturing operations in North America, in order to meet increased customer demand in our low to medium-volume, highly-engineered, custom molded product segments,” said David Lisle.
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