PolyOne buys companies; sets up composites unit

By having made two acquisitions, US materials supplier PolyOne Corporation has created a new division known as Advanced Composites in its speciality engineered materials business. The two speciality businesses from Gordon Holdings design and produce lightweight, high-performance solutions, utilising composite technology. It also says the new continuous reinforced thermoplastic composite capability establishes PolyOne at the forefront of “next generation” composite solutions Bolstering PolyOne’s existing portfolio of thermoset composite solutions is the acquisition of Gordon Composites, which develops high strength profiles and laminates for use in vertical and crossbow archery, sports and recreation equipment, prosthetics, and office furniture systems.

The second acquired business, Polystrand, operates on continuous reinforced thermoplastic composite technology, a next generation material science that delivers the high strength and lightweight characteristics of composites, further enhanced with the design flexibility to form more complex shapes. Current application usage includes materials for the aerospace, transportation, outdoor and security and protection markets. Both acquired businesses will join PolyOne’s existing portfolio of complementary solutions in a new comprehensive platform to be called PolyOne Advanced Composites.

“With these acquisitions we’ve built upon our past success and portfolio of composite solutions to now serve our customers more comprehensively than ever before,” said Craig Nikrant, President, Specialty Engineered Materials, PolyOne Corporation.

The purchase price for both businesses is US$85.5 million. The price includes all assets related to the businesses, including intellectual property, trademarks and production assets. PolyOne expects the acquisitions to add US$40 million to revenues and be accretive to earnings in 2017.

“Gordon Composites and Polystrand are exceptional businesses that were born and bred through entrepreneurial spirit, innovation and the hard work of dedicated employees over the last 60 plus years,” said Mike Gordon, Chairman/President, Gordon Holdings Robert M. Patterson, Chairman/CEO of PolyOne Corporation also said the investments deliver needed innovation and growth. “As we invest in these businesses and leverage our commercial and operational excellence, our PolyOne Advanced Composites group will play an important role in achieving our 2020 Platinum Vision.”