Nordson, a company specializing in precision technology solutions, has signed a definitive agreement to purchase Xaloy Superior Holdings, a New Castle, Pennsylvania-based company that produces melt delivery components for extrusion and injection machinery in the worldwide plastic processing industry.
The acquisition price, which is $200 million, will be funded with available credit facilities. This business transaction is likely to end during Nordson’s Q3 regulatory reviews and customary closing conditions.
Xaloy Superior Holdings has operations in Thailand, Germany and the US. It will function as part of the Adhesive Dispensing Systems division of Nordson. Xaloy has a diversified customer base that comprises plastification OEMs and plastics processors.
Michael F. Hilton, Nordson’s President and CEO, informed that Xaloy Superior has an extensive product portfolio that allows the company to deliver complete solutions, covering the whole gamut of plastic processing melt stream. Adding this potentiality to Nordson’s extrusion die product range will allow the company to provide unique solutions that merge the essential aspects of dispensing and material flow. This offering complements the model, which is currently employed by Nordson in its hot melt adhesive dispensing product range for rigid packaging producers.
Xaloy’s solutions are important to produce a wide range of products for global end markets, including consumer products, packaging, medical, electronics, aviation, transportation, and building products. The company caters to these markets with a sophisticated product line that comprises engineered screws, bi-metallic barrels, melt pumps, heat transfer rolls, screen changers, nozzles, valves, pelletizers and jet cleaners. These products are used in the plastics melt stream.
Once the transaction is completed, Nordson will provide further details about the business.
Source: http://www.nordson.com/