A Fylde coast polymers firm has made its first acquisition after buying up an American manufacturer for £3.8m.
Thornton-based Victrex which specialises in high performance plastics, revealed the deal in its interim management statement for the period from April 1 to June 30 this year.
It has bought Kleiss Gears Incorporated which designs, tests and makes gear wheels used in the automotive industry from polymers such as PEEK made by Victrex.Kleiss is a Wisconsin family firm with 20 years’ experience of precision moulding capability in gears, and is set to benefit from Victrex’s materials know-how, existing customer relationships and global commercial reach.
It has revenues of approximately $4m and employs 26 people.
David Hummel, chief executive of Victrex, said: “The acquisition of Kleiss Gears is in line with our strategy of creating value through high performance polymer solutions and demonstrates how we are moving further downstream to support our customers and our markets.”
“Kleiss Gears offers Victrex the opportunity to accelerate adoption of our Victrex PEEK gear proposition to meet the needs of the automotive industry and is in line with our aim to double the amount of PEEK volume in cars over the medium term.
“We are delighted to be able to build on the existing expertise of Kleiss and further develop tailor-made solutions for our customers.”
Rod Kleiss Gears , president of Kleiss said: “We have been partnering with Victrex for many years and are convinced that our customers and end-users will benefit from a more integrated approach, enabling them to develop and launch gears that solve their key challenges with greatly reduced development cycles.”
Victrex said it saw solid trading against tougher comparatives during Q3, with performance reflecting continuing growth across its industrial markets, which offset sales to the badly hit Oil and Gas sector and a lower contribution from its Invibio medical business.
Third quarter Group revenue of £64.5m was flat compared to the previous year