With deal news from Ladish Co. and Lavelle Industries Inc.
Ladish to acquire California firm
Cudahy-based Ladish Co. has entered into an agreement to acquire Chen-Tech Industries Inc. of Irvine, Calif., for approximately $59 million in cash and stock. The transaction is expected to close in the third quarter of 2008.
Kerry Woody, president and chief executive officer of Ladish, said, "Chen-Tech, with projected 2008 sales of about $50 million, is a highly regarded manufacturer of jet engine forgings for mutual customers such as General Electric. Chen-Tech’s expertise in forging nickel-based and titanium components for smaller jet engines serving single aisle, regional, and business aircraft is a great complement to Ladish’s expertise in forging larger engine components."
Chen-Tech has been led by Shannon Ko for more than 15 years. Ko and his team will continue to manage Chen-Tech after the acquisition, Woody said. "By combining Chen-Tech’s strengths with Ladish’s material technology and global market position, we have laid a foundation to capitalize on long-term growth opportunities. The merger provides Ladish with a broadened product offering and increased market share on mutual aerospace programs. Working together, we believe synergistic savings will further enhance long-term profitability," Woody said.
Ladish manufactures highly engineered, technically advanced components for the jet engine, aerospace and general industrial markets.
Lavelle acquires Connecticut company
Burlington-based Lavelle Industries, Inc., a manufacturer of custom molded rubber and plastic parts, announced it has acquired Syntex Rubber Corp. of Bridgeport, Conn. Lavelle said the acquisition was fueled by a combination of the state of the economy and rising material costs.
A vertically integrated manufacturer, Lavelle Industries offers a broad spectrum of materials and processing options. Manufacturing capabilities include: conventional molding, injection molding, rubber-metal bonding, lathe cutting, secondary operations, and custom material development.
Lavelle manufactures a line of toilet repair products under their Korky brand name.