Private equity firm purchases GI Plastek Wolfeboro

(Wolfeboro, NH), closing the deal on July 30. The New Hampshire-based company represented the remaining structural plastics business of the former GI Plastek, which closed its injection molding operation in Ohio in 2006 after selling off its reaction injection molding (RIM) business, which was also based in Ohio, in the same year. Prior to its acquisition by GI Plastek in 2000, the company was known as Phoenix Custom Molders. Michael McGovern, a partner at Wincove Capital, told PlasticsToday that his firm became aware that GI Plastek was available when that company, which was owned by a real-estate investment company New England Development, hired an investment banker with close ties to Wincove to investigate a possible sale.

McGovern could not reveal the purchase price but said the strategy going forward is to retain GI Plastek’s management and staffing. “The plan is to absolutely keep [management] in place,” McGovern said. “GI Plastek has a very strong management team.” Clarence Garnett, who has been with GI Plastek for five years will be kept on as its VP and general manager.

Specializing in large, complex parts for markets like medical, military, industrial, business/office equipment, construction, and leisure/recreation, GI Plastek Wolfeboro has high-pressure, structural foam, gas-assist, and gas counterpressure plastic injection molding capabilities. According to Garnett, the site has approximately 56,000 ft² of manufacturing space and an 18,000-ft² warehouse. It operates 14 machines ranging in tonnage from 110 to 1000, with structural foam and straight injection presses, and it employs just shy of 100 people. In addition to its molding capabilities, GI Plastek’s secondary operations include RFI/EMI shielding, in-house painting, hot stamping, silk screening, welding (adhesive, heat, solvent, ultrasonic), heat staking, sub assembly, packaging, and barcoding.

In a release, Wincove stated that it intends to expand the company through organic growth, by building its customer base and entering new end markets, as well as seeking to create new business through acquisition. Senior credit facilities to support the sale came from Wells Fargo Business Credit (Boston), with subordinated debt from Spring Capital Partners. McGovern said GI Plastek was Wincove’s second investment, with the first being wire and cable distributor, Connect-Air International Inc. (Auburn, WA). —Tony Deligio