Home Industries Manufacturing Mayville Engineering to acquire Mid-States Aluminum in $96 million deal

Mayville Engineering to acquire Mid-States Aluminum in $96 million deal

Mayville Engineering Co. headquarters. Image from Google.
Mayville Engineering Co. headquarters. Image from Google.

Mayville Engineering Company, Inc. (MEC) has entered into a definitive agreement to acquire Fond du Lac-based Mid-States Aluminum Corp. (MSA) in a $96 million deal. The acquisition is expected to close in the third quarter of 2023. MEC provides design, prototyping and manufacturing solutions for diverse markets. MSA is a vertically integrated manufacturer of custom

Already a subscriber? Log in

To continue reading this article ...

Subscribe to BizTimes today and get immediate access to our Insider-only content and much more.

Learn More and Subscribe Now
Ashley covers startups, technology and manufacturing for BizTimes. She was previously the managing editor of the News Graphic and Washington County Daily News. In past reporting roles, covering education at The Waukesha Freeman, she received several WNA awards. She is a UWM graduate. In her free time, Ashley enjoys watching independent films, tackling a new recipe in the kitchen and reading a good book.
Mayville Engineering Company, Inc. (MEC) has entered into a definitive agreement to acquire Fond du Lac-based Mid-States Aluminum Corp. (MSA) in a $96 million deal. The acquisition is expected to close in the third quarter of 2023. MEC provides design, prototyping and manufacturing solutions for diverse markets. MSA is a vertically integrated manufacturer of custom aluminum extrusions and fabrications. MSA has served major original equipment manufacturers in the building and construction, recreational, medical, agriculture and transportation end markets for nearly 60 years. The company has two facilities, both in Fond du Lac, with a total of 325,000 square feet of manufacturing space. “MSA is an established provider of aluminum extrusions, whose history of growth and innovation, attractive margin profile, deep customer relationships and diverse end-markets are highly complementary to our existing business,” said Jag Reddy, president and chief executive officer of MEC. “Our acquisition of MSA will accelerate the expansion of MEC’s capabilities into lightweight materials fabrication, a designated strategic priority highlighted within our MBX value creation framework. MSA’s state-of-the-art design, engineering and manufacturing capabilities are highly complementary to our existing operations, providing a platform for higher-margin profitable growth within growing adjacent markets.” For the full-year 2022, MSA recorded total revenue and adjusted EBITDA of approximately $86 million and $16 million. MEC intends to fund the transaction with an amendment to its existing credit agreement that increases the revolving credit facility size to $250 million. In a Tuesday press release, Reddy said MEC will welcome all of MSA’s 250 employees. He did, however, say the acquisition would lead to ‘significant synergies’ over the next three years, consistent with the company’s focus on profitable growth. “Our shared commitment to product innovation, performance excellence, customer-centric relationships and long-term value creation will help us further deliver on our MBX initiatives, while continuing to build a market-leading brand of scale,” said Reddy.

Stay up-to-date with our free email newsletter

Keep up with the issues, companies and people that matter most to business in the Milwaukee metro area.

By subscribing you agree to our privacy policy.

No, thank you.
Exit mobile version