Milacron to acquire leading process control components supplier

Milacron Holdings Corp. has added another company to its portfolio with its acquisition of CanGen Holdings, Inc. and its subsidiaries, Canterbury Engineering Company and Genca.

CanGen is a leading supplier of highly engineered aftermarket process control components for extrusion and injection molding applications with approximately $20 million in sales. This acquisition will be immediately accretive to Milacron’s Adjusted EPS. It will also add to Milacron’s aftermarket capabilities including a broadened product offering into downstream tooling, proprietary rights to over 185,000 unique designs and drawings, and a regional center for parts and service in the southeastern U.S. Genca also has a strong market position throughout Mexico and South America. 

Milacron CEO Tom Goeke said that CanGen fits perfectly to Milacron's core growth strategy of accelerating lifecycle sales through consumable products and aftermarket service. Also,  CanGen provides an entry into the extrusion market for rubber products, which opens up a new set of customers for Milacron’s existing product range.

The consumables product market served by Canterbury and Genca includes screws & barrels, tooling and cross-heads, and other machined metal components. CanGen’s products are marked by substantial recurring revenues from the regular repair and replacement cycles of its large installed base.

The transaction, subject to customary closing conditions, is expected to close by the end of 2015.