Sponsored By

Xaloy buys up Dynisco Extrusion

March 23, 2006

2 Min Read
Xaloy buys up Dynisco Extrusion

Adding gear pumps, screen changers, cleaning ovens, and water-ring pelletizers to its extrusion screws, barrels, and heat-transfer rolls, Xaloy (New Castle, PA) has acquired Dynisco Extrusion and rounded out its offerings in that market.

Xaloy President and CEO Walter Cox said his company will retain all 60 Dynisco employees, including former president, Randy Pearson, who will head up a newly formed Xaloy Extrusion unit that will be based in Hickory, NC and meld the two company''s sales and service operations. Cox also said that a similar reorganization is in the works to create a distinct injection molding business. Injection molding screws, barrels, and other components, including shutoff nozzles, make up 50% of Xaloy''s sales, with the other half coming in extrusion.

According to Cox, Xaloy is coming off 10% growth in 2005, and that once combined, the new company should have 2006 sales "north of $120 million." In addition to the manufacturing, lab, and spare parts unit in North Carolina, the deal also included Dynisco''s Heilbronn, Germany and Shanghai facilities. The German operations will be moved to a nearby location in the future, and the Shanghai service business will be rolled into Xaloy''s sales office there, which it opened last year (MPW December 2005). Cox said the company plans to add two people to the China operation, on the basis of 50-60% growth there and at its new Indian outpost, as well as five to six more employees in Europe, where the company has also experienced strong growth.

Although the technologies were complementary, Cox said there were some redundancies in customers between Dynisco and Xaloy, but that Dynisco could offer more of an entrée into the resin manufacturing and compounding business.

Dynisco, which had been shopping the business, was a welcome fit for Xaloy, which wanted to beef up its extrusion offerings.

"We''ve got a great opportunity to integrate the performance of the melt pump with the performance of the screw and to really supply customers with an optimized delivery system," Cox said. "We''ll be able to engineer the two products together."-Tony Deligio; [email protected]

Sign up for the PlasticsToday NewsFeed newsletter.

You May Also Like