Applied Tech Products Acquires Automotive OEM Manufacturer WEK Industries
Applied Tech Products (formerly SKM Applied Technology Partners) announced today the acquisition of WEK Industries, Inc., a Jefferson, Ohio blow molder of plastic products and systems, engineered specially for the automotive market.
According to Raymond Langton Co-founder and CEO of Applied Tech Products, "the addition of WEK's blow molding technology, low-cost manufacturing and key customer relationships brings Applied Tech Products' Automotive Group significant strategic and manufacturing benefits."
WEK Industries joins Michigan Rubber Products ("MRP") of Cadillac, Michigan as a member of the Applied Tech Products Automotive Group. Effective with the acquisition, Anthony A. Martino will replace Walter E. Kalberer, former President and owner of WEK as President. Mr. Kalberer will remain with WEK through a transition period providing consultation in key areas including manufacturing and business development.
According to Dennis Brovont, President of MRP, "With MRP and WEK together, we now have the capability to design, test and manufacture complete rubber and blow molded plastic sub-systems, reinforcing our efforts to supply the automotive industry with more complete systems and a leaner supply base." He continued, "jointly we will expand our full-service capabilities to serve a global customer base."
MRP is based in Cadillac, Michigan and has earned an excellent reputation among the Big Three and Tier 1 auto suppliers for its complete design, development and manufacturing services for rubber and plastic products. MRP has excellent quality and delivery ratings and is QS-9000 and ISO-9001 registered. Ford Motor Company recognizes MRP as a "Full Service Supplier" (FSS).
With this acquisition of WEK, the Applied Tech Products Automotive Group manufactures and markets within five main areas: (1) air ducting (engine and HVAC); (2) static gaskets; (3) NVH - (noise vibration dampening products); (4) tubing for air, water and fuel; and (5) custom blow molding products.
WEK Industries is Applied Tech Products' tenth acquisition and third within the past five months. Applied Tech Products’ ten companies are organized in four strategic operating groups: Engineered Plastics consisting of Cascade Die Mold, Monticello, Iowa, Modern Plastic Technics, West Berlin, New Jersey and UPT Plastics, Tempe Arizona; Health and Beauty Care consisting of Sussex Technology, Sparta, New Jersey, Tri-Molded Plastics, Bay Shore, New York, Apollo Packaging , Bridgeport, Connecticut and Nadel Industries, Port Chester, New York; Automotive consisting of MRP and WEK and AK Rubber Products, Elkhorn, Wisconsin, serving the medical and technology markets.
Applied Tech Products is a focused manufacturer of engineered rubber and plastic products and value-added services. The company serves the medical, telecom, electronic, consumer, industrial, automotive and health and beauty care markets. With the addition of WEK Industries, Applied Tech Products consists of ten companies with aggregate pro forma sales in excess of $200 million. Applied Tech Products' objective is to grow to $500 million within five years through internal growth and acquisitions. In support of continued growth, in June 2000, Applied Tech Products completed the expansion of its syndicated credit facility to $195 million.
Ray Langton, along with Saunders Karp & Megrue, and Harvey & Company, LLC formed the Applied Tech Products partnership in 1997. Langton, a proven industry executive, is CEO and co-founder. Saunders Karp & Megrue is a private equity fund with over $1.5 billion under management, and has completed over 40 acquisitions since 1985, representing more than $10 billion in aggregate value. Harvey & Company, a leading merchant bank specializing in management-led industry build-ups, initiated 20 transactions in 1999 with $400 million in aggregate consideration.