Avcorp Industries Inc has agreed to acquire the US-based composite aerostructures division of a subsidiary of SGL Carbon.
According to the company, the transaction will significantly expand the capabilities of Avcorp in composites and offer a strong platform to grow the profitability of the business. The addition is also expected to approximately double Avcorp's revenues in the immediate term.
The division, Hitco Carbon Composites Inc, produces composite parts for commercial and military aerostructures. The acquisition includes all inventories, equipment, tooling and other fixed assets, intellectual property, contractual rights, good will, accounts receivable, and work in progress, but Avcorp is not acquiring any assets of Hitco's materials division. Avcorp will be continuing operations at Hitco's current aerostructures facilities in Gardena, California, USA.
‘The acquisition of Hitco's composites division offers a unique opportunity to transform our business by broadening our product range and strengthening our composite capabilities,’ said Peter George, Avcorp Group CEO. ‘Combining the businesses should accelerate Avcorp's return to profitability. We see many opportunities to enhance the Hitco composites business and provide superior products to Hitco's exceptional aerospace customers.’
This story is reprinted from material from Avcorp, with editorial changes made by Materials Today. The views expressed in this article do not necessarily represent those of Elsevier.