By Jonathan Eppley, Crain's Detroit Business
Madison Heights-based MAPS Holdings Inc. on Friday announced plans to acquire the Farmington Hills-based automotive sealing supplier GDX Automotive for an undisclosed amount.
MAPS Holdings is an affiliate of the Chicago-based private equity firm Wynnchurch Capital. GDX is owned by funds managed by Cerberus Capital Management L.P.
MAPS is to acquire some offices and plants, including GDX's global headquarters in Farmington Hills, and operations facilities in New Haven, Missouri; Welland, Ontario; Guadalajara, Mexico; and Grefrath and Rehburg, Germany, as well as facilities in the Czech Republic and joint venture operations in China.Â The transaction is expected to close in late November.
GDX Automotive had sales of about $755 million in 2006, according to an estimate from Crain's sister publication Automotive News and ranks at No. 119 on that publication's list of the top 150 suppliers to North America.
The acquisition announcement falls in line with the strategy outlined by Wynnchurch partner Terry Theodore in an interview with Crain's earlier this month. In that interview, Theodore said he planned to use Wynnchurch's recent acquisition of Metzeler Automotive Profile Systems in Madison Heights as a platform for additional acquisitions.
Closing of the sale is subject to final agreements with major customers. Plants not included in the sale are being closed. The affected plants include a unit in Palau, Spain; two units in France, in Corvol and St Nicolas;Â two units in Magog Quebec where 400 are expected to lose their jobs; a plant in Wabash, Indiana, where 600 jobs will go; and another in Batesville, Arkansas.
GDX's products include weather-strip seals, glass encapsulation, modular sealing systems and anti-vibration components. GDX global headquarters is in Farmington Hills, Michigan. Its European headquarters and technical center is in Grefrath, Germany.
â€œCombining GDX with MAPS Holdings represents an attractive opportunity to dramatically grow our business and establish the global footprint needed to better support our customers in today's highly competitive and increasingly global automotive sealing industry,â€ said MAPS Holdings CEO Rob DePierre.
Wynnchurch acquired Metzeler's North American business in Madison Heights in September.
From Crain's Detroit Business (A Crain publication)
Press release from GDX
Wabash factory to close, losing 600 jobs AP via IndyStar (US - Indiana)
Magog, Que., GDX Automotive plant to close, 400 employees to be cut Canadian Press (Canada - Quebec)
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