GenTek to Acquire Automotive Testing Unit of EG&G, Expanding Market Reach and Capabilities of Defiance
7 July 1999
GenTek to Acquire Automotive Testing Unit of EG&G, Expanding Market Reach and Capabilities of DefianceHAMPTON, N.H., July 7 -- GenTek Inc. has acquired Structural Kinematics, an automotive structural testing business, from EG&G, Inc. . Terms of the acquisition were not disclosed. "The value in this acquisition comes from combining Structural Kinematics with GenTek's Defiance Testing and Engineering Services subsidiary, creating the leading independent provider of structural testing services to automakers and their preferred suppliers," said Paul M. Montrone, chairman and principal shareholder of GenTek. "The combination of these two businesses allows us to better meet customer needs for a single-source supplier of vehicle testing and engineering services," Montrone said. "It also will expand GenTek's customer base beyond automobiles into other interesting market segments, such as agricultural machinery, providing testing services for makers of tractors and other heavy- duty farm equipment." According to Richard R. Russell, GenTek president and chief executive officer, "Automakers are continuing to extend the warranty life of new vehicles, which makes testing more important, and they are outsourcing many of their non-core services. The newly expanded Defiance will be able to better capitalize on these trends, helping automakers to insure the reliability and endurance of their vehicles, without the overhead cost of staffing and equipment." Structural Kinematics, based in Troy, Mich., provides testing services for cars, trucks, industrial and agricultural components, and other vehicles. Its tests are critical to the successful introduction of new automotive models. The division maintains three test laboratories, with 14 full-vehicle simulators, and a variety of hydraulic equipment that tests structural durability and performs fatigue and safety testing. GenTek, with headquarters in Hampton, N.H., is a leading manufacturer of industrial components and performance products for a broad range of customers.