CSP acquires 5 Magna Exteriors plants
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AUBURN HILLS, Michigan — Continental Structural Plastics (CSP), a global leader in lightweight composite solutions, announced it has signed a definitive agreement to acquire the composites operations of Magna Exteriors. This acquisition, which will make CSP the world’s largest sheet molding composites (SMC) compounder and manufacturer, includes the assets of five Magna facilities located in North America.
“The acquisition of five additional manufacturing plants from Magna will allow our company to continue to grow our customer base and sales,” said Tom Harth, Van Wert plant manager for CSP who will become regional director of the compounding facilities in Van Wert and Grabill, Indiana, after the purchase. “The Van Wert plant is currently fully utilized and at manufacturing capacity.
“The CSP Van Wert plant is a unique facility that produces the highest volume of sheet molding composite in the world today,” Harth added.
In addition to the acquisition, Harth noted, Continental Structural Plastics has appropriated over $1.3 million in capital investment for new control equipment in the Van Wert facility, scheduled for installation in the last quarter of 2014.
“Our intent is to maintain Van Wert at a fully utilized level and add new sales and compounding manufacturing requirements to the Grabill facility as we continue to grow,” Harth explained.
“This (Magna) acquisition further demonstrates our commitment to become the global leader in light-weighting solutions,” said Frank Macher, chairman and CEO of CSP. “The incremental capacity and resources gained position us extremely well for on-going growth and the ability to pursue a number of new business opportunities.”
Under the terms of the agreement, CSP will acquire Magna Composites manufacturing facilities located in Lenoir, Newton, and Salisbury, North Carolina; and Saltillo, Mexico, and a compounding facility located in Grabill, Indiana. Collectively, these facilities employ more than 1,000 people and encompass 600,000 square-feet of manufacturing space.
“We have a solid foundation upon which we are building a bigger, more competitive company,” Macher added. “Through this acquisition, we gain significant heavy truck and consumer products expertise, as well as an expanded manufacturing footprint and broad range of manufacturing and technical capabilities.”
Manufacturing equipment and technical capabilities included in the transaction include SMC compression molding machines ranging from 175 tons to 4,000 tons; horizontal presses; a prime paint line; robotic water jet machines, bonding applications and routing; and CNC routing.
About Continental Structural Plastics
For more than 40 years, Continental Structural Plastics (CSP) has provided leading-edge technologies in lightweight materials and composite solutions for the automotive, heavy truck, HVAC and construction industries. Headquartered in Auburn Hills, Michigan, CSP provides full-service engineering support, and holds more than 50 patents covering materials development and manufacturing processes in composite materials formulation, design and manufacturing technologies. For more information, visit www.cspplastics.com.