Hexpol acquires specialised US compounding business

Malmo, Sweden – Rubber and plastics compounder Hexpol has signed an agreement to acquire 100% of the shares in family-owned McCann Plastics LLC, for a price of $120 million (€123 million).

Based in North Canton, Ohio, the acquired  business specialises in niche thermoplastics compounds, with special focus on roto moulding applications, said a 2 Nov Hexpol announcement.

The US company, it stated, delivered sales of $72 million last year with a profitability level “just below that of the Hexpol Group”.

McCann has recently invested substantially in capacity and technology to enable further growth and to meet the increased demand for products, Hexpol also noted.

With operations at two locations in Ohio and 100 employees, McCann supplies general industry, agriculture and the 'fast growing' specialised cooling boxes markets.

Hexpol said the transaction was expected to close after regulatory approval in the final quarter of 2022.

In its statement, Hexpol said the purchase was fully in line with its polymer compounds mergers & acquisitions strategy.

Furthermore, the Swedish group said the acquisition complemented its current operations in the US and strengthened market position.

“McCann has a strong position within its market niche that complements and widens our customer offer,” said Jan Wikstroem, president Hexpol Thermoplastic Compounding

The acquired company, he said, is “well invested” with high competence in specialised thermoplastic compounds.