Textron Acquires UK-Based Auto Trim Maker
28 August 1998
Textron Acquires UK-Based Auto Trim Maker; Company Further Expands Textron's European Presence
PROVIDENCE, R.I.--Aug. 28, 1998--Textron Inc. announced today it has acquired UK-based Midland Industrial Plastics. With 1998 sales estimated at $72 (British Lb. 44.4) million, the company is a leading maker of automotive interior and exterior trim components for European automakers. Terms were not disclosed.
Midland Industrial Plastics (MIP) will be combined with Textron Automotive Company's (TAC) Trim division, a leading manufacturer of interior/exterior trim systems and components. TAC has 51 manufacturing plants in 13 countries.
"Textron continues to expand and strengthen its automotive operations at a time when OEMs are seeking global partners," said Textron President and CEO Lewis B. Campbell. "This acquisition builds on TAC's global sourcing capabilities and is consistent with our strategy of buying companies that complement and expand our existing core operations," he added.
"The quality of MIP's customer relationships with Rover, Toyota, LDV, Leyland, DAF and Tier One suppliers and its reputation as a leading independent UK-based supplier with excellent growth prospects, makes this a great strategic fit for TAC," said John A.Janitz, chairman, president and CEO of Textron Automotive Company.
With headquarters near Birmingham, England, MIP's two plants in nearby Stourport and Elmdom are well-situated to serve new and existing customers. MIP's product offerings include door panel assemblies, instrument panels, molded seatbacks, rear window package shelves and trunk liners.
Employing approximately 560 people, MIP uses three principal manufacturing processes - polyurethane molding, thermoforming and wood-fiber compression molding. Compressed wood-fiber products are low in cost and weight, are easily recyclable and are used in almost half of the automotive door substrates in Europe.
"This process adds a valuable new capability to our Trim division," said Sam Licavoli, president of TAC's Trim division. "It also expands our ability to service our customers globally," he added.
TAC's other recent European acquisitions include Germany-based Kautex (1/7/97), the world's leading maker of plastic fuel tanks; and UK-based companies Valeo Wiper Systems Ltd (7/1/96); and the General Rubber Goods division of Pirelli Tyres Ltd (9/15/97). In the last 20 months, Textron Inc. has acquired 12 European businesses.
As the largest independent injection molder and instrument panel supplier in North America, TAC Trim also manufactures door panels, armrests, consoles, lighting components and exterior trim for leading automakers worldwide.
Textron Automotive Company, based in Troy, MI, is a leading worldwide full-service supplier of automotive interior/exterior trim and functional components and systems with annual sales in excess of $2.1 billion.
Textron Inc. is a $10.5 billion, global, multi-industry company with market-leading operations in Aircraft, Automotive, Industrial and Finance.