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M&A Quarterly News In The Plastics and Rubber Industry Sector

By Jim Zipursky | Mar 20, 2019

The report below gives a good overview of the first quarter M&A activity in the Plastics and Rubber Industry Sector. M&A activity for North American based target companies in the Plastic and Rubber sector for Q4 2018 included 25 closed deals, according to data published by industry data tracker FactSet.

One of the notable middle market transactions closed in November when VisiPak, Inc., a subsidiary of Sinclair & Rush Inc, acquired Masterpac Corp for an undisclosed amount. The transaction allows VisiPak to enter into the medical packaging business and strengthen its product offerings in the consumer and industrial packaging market. Masterpac Corp is located in St. Louis, Missouri and manufactures thermoformed finished plastics products.

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M&A Quarterly News In The Metal Fabrication Industry Sector

By Jim Zipursky | Mar 19, 2019

The report below gives a good overview of the first quarter M&A activity in the Metal Fabrication Industry Sector. M&A activity for North American based target companies in the Metal Fabrication sector for Q4 2018 included 27 closed deals, according to data published by industry data tracker FactSet.

One of the notable middle market transactions closed in October when Premier Thermal Solutions LLC, a portfolio company of Z Capital Partners LLC, acquired Alfe Heat Treating, Inc. for an undisclosed amount. The acquisition would expand Premier Thermal Solutions’ ferrous and aluminum heat treating services. Alfe Heat Treating is located in Indiana and provides aluminum commercial heat treatment services.

Industry Indicators

  • US durable goods manufacturers’ shipments of fabricated metal products, an indicator of fabricated metal parts production, rose 9.4% year-to-date in October 2018 compared to the same period in 2017.
  • US steel mill product prices, an indicator of commodity steel costs for fabricated metal products manufacturers, rose 18.5% in December 2018 compared to the same month in 2017.

Posted by Jim Zipursky.

Read the Entire Metal Fabrication 1st Quarter Newsletter Here


M&A News In The Plastics and Rubber Industry Sector

By Jim Zipursky | Nov 19, 2018

The report below gives a good overview of the fourth quarter M&A activity in the Plastics and Rubber Industry Sector. M&A activity for North American based target companies in the Plastics and Rubber sector for Q3 2018 included 25 closed deals, according to data published by industry data tracker FactSet.

One of the notable middle market transactions closed in July when Mueller Industries, Inc. acquired ATCO Rubber Products, Inc. for US$163.4 million in cash and contingent payout. The acquisition would allow Mueller Industries to expand its climate products businesses. ATCO Rubber Products is located in Fort Worth, Texas manufactures flex duct systems for residential and commercial heating, ventilation and AC applications. It generated revenue of US$166 million for the fiscal year ended December 31, 2017 and has 800 employees.

End-use markets continue to grow year over year as more products in the U.S. are manufactured out of plastic and rubber materials.

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M&A News In The Plastics and Rubber Industry Sector

By Jim Zipursky | Aug 17, 2018

The report below provides a good overview of the third quarter M&A activity in the Plastics and Rubber Industry Sector. M&A activity for North American based target companies in the Plastics and Rubber sector for Q2 2018 included 35 closed deals, according to data published by industry data tracker FactSet.
One of the notable middle market transactions was announced in June when a private group led by the management of Comar, LLC and Morgan Stanley Capital Partners (Private Equity) acquired Comar from Graham Partners, Inc., for an undisclosed amount. Founded in 1949, Comar is located in Voorhees, New Jersey and manufactures plastic bottles and other plastic products.

Injection molders across the US have differentiated themselves by specializing in specific processes. Highly specialized firms can be more attractive acquisition targets for larger companies looking to improve capabilities.

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M&A News in the Metal Fabrication Industry Sector

By Jim Zipursky | Aug 09, 2018

The report below provides a good overview of the third Quarter M&A activity in the Metal Fabrication Industry Sector. M&A activity for North American based target companies in the Metal Fabrication sector for Q2 2018 included 52 closed deals, according to data published by industry data tracker FactSet.

One of the notable middle market transactions was announced in June when Steel Dynamics, Inc. acquired Companhia Siderúrgica Nacional, LLC for US$400 million in cash. The transaction is expected to be accretive to near-term earnings and cash flow per share. In addition, the transaction is believed to expand Steel Dynamics’ annual flat roll steel shipping capacity to 8.4 million tons and total shipping capability to 12.4 million tons. Companhia Siderúrgica Nacional is located in Terre Haute, Indiana and manufactures coiled steel sheet products.

Tariffs on steel imposed by the Trump administration have had the sector in flux. The graph below illustrates how tariffs effect certain states.
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M&A News in the Metal Fabrication Industry Sector

By Jim Zipursky | May 30, 2018

The report below provides a good overview of the second Quarter M&A activity in the Metal Fabrication Industry Sector. M&A activity for North American based target companies in the Metal Fabrication sector for Q1 2018 included 31 closed deals, according to data published by industry data tracker FactSet.

One of the notable middle market transactions announced in the quarter was in January when Wynnchurch Capital, LLC announced that it had completed an investment in Anderson Metals Corporation, Inc. Terms of the deal were not disclosed. Anderson is a manufacturer of brass fittings, valves, pipe nipples and related products to the plumbing, hardware and general industrial end-markets. The Company is headquartered in Kansas City, Missouri and was founded in 1947.

The demand for fabricated steel products rose sharply in Q1 2018 partly driven by the potential for tariffs implemented by the current administration.

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M&A News In The Plastics and Rubber Industry Sector

By Jim Zipursky | May 21, 2018

The report below provides a good overview of the second quarter M&A activity in the Plastics and Rubber Industry Sector. M&A activity for North American based target companies in the Plastics and Rubber sector for Q1 2018 included 18 closed deals, according to data published by industry data tracker FactSet.

One of the notable middle market transactions closed in March when Huntsman Corp acquired Demilec (USA), Inc., a portfolio company of Sun Capital Partners Inc, for US$350 million in cash, subject to adjustments. Huntsman Corp. manufactures chemicals for the plastics, automotive and construction industries. Demilec engages in the manufacture of spray polyurethane foam insulation and coatings. The firm offers products such as demilec APX, sealection 500, pour-in-place, agribalance, heatlok soy, barnseal, geolok, and eco-pur pour-in-place. It also provides a range of products to meet the needs of homeowners, building professionals, architects and insulation contractors.

Worldwide tire sales, a major indicator of rubber usage, are forecast to grow 7% annually to reach a value of about $260 billion by 2019, according to the Freedonia Group.
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M&A News In The Plastics and Rubber Industry Sector

By Jim Zipursky | Mar 22, 2018

The report below provides a good overview of the first quarter M&A activity in the Plastics and Rubber Industry Sector. M&A activity for North American based target companies in the Plastics and Rubber sector for Q4 2017 included 21 closed deals, according to data published by industry data tracker FactSet.
One of the notable transactions of the quarter closed in October when Genstar Capital, LLC acquired Tekni Plex, Inc., a portfolio company of American Securities, LLC, for a reported value approximately US$1.5 billion. Tekni-Plex manufactures and sells packaging, packaging products and materials, and tubing products primarily for the food and beverage, healthcare, specialty, lawn and garden and consumer markets. The company was founded in 1967 and is headquartered in Wayne, PA.

Rubber and plastic continue to Be major components for a wide range of commercial and industrial products.

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M&A News In The Plastics and Rubber Industry Sector

By Jim Zipursky | Nov 20, 2017

Sell your Plastic BusinessThe report below provides a good overview of the fourth quarter M&A activity in the Plastics and Rubber Industry Sector. M&A activity for North American based target companies in the Plastics and Rubber sector for Q3 2017 included 18 closed deals, according to data published by industry data tracker FactSet.

Plastics manufacturers that serve the retail sector have seen steady growth with online retailers, according to Plastics News. Nonstore retail, which primarily includes online retailers such as Amazon, saw sales growth of nearly 11% in the first four months of 2017. While online sales are expected to continue to drive demand for foam packing peanuts and bubble wrap, nonstore retail should also spur demand for specialized durable and reusable plastic shipping containers.

Demand for plastics and rubber in the manufacturing sector has been a guy driver for sector growth throughout 2017.

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M&A News In The Plastics and Rubber Industry Sector

By Jim Zipursky | Oct 09, 2017

The report below provides a good overview of the 3rd Quarter M&A activity in the Plastics and Rubber Industry Sector. M&A activity for North American based target companies in the Plastics and Rubber sector for Q2 2017 included 24 closed deals, according to data published by industry data tracker FactSet. The average purchase price was $73million.

The high-performance tire sector has been among the fastest-growing parts of the tire market. According to a recent report from Smithers Rapra, The Future of High-Performance Tires to 2022, the high-performance tire market will grow at 6.3 percent year-on-year through to 2022 reaching a market value of $74.7 billion, up from $54.9 billion in 2017.

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