09.02.21
Manchester, CT
www.lydall.com
2020 Nonwovens Sales: $764 million
Key Personnel
Sara Greenstein, president and CEO; Ashish Diwanji, president, Performance Materials; Robb Junker, president Technical Nonwovens; Joe Abbruzzi, president, Thermal Acoustical Solutions
Plants
Rochester, NH; Saint Rivalain, France; Green Island, NY; Lancaster, PA; Fulton, NY; Hoosick Falls, NY; Beaver Falls, NY; Marshalltown, IA; Altenkirchen, Germany; Heerlen, The Netherlands; Hamptonville, NC; Yadkinville, NC; North Augusta, SC; Bethune, SC; Rawtenstall, U.K.; Bury U.K.; Stoke-on-Trent, U.K.; Wuxi, China; Yixing, China; Taicang, China; Shanghai, China; Quebec, Canada; Fulda, Germany; Meinerzhagen, Germany; St. Nazaire, France
Brands
AppLY Mat, Biotherm, CRS Wrap, Cryo-Lite, LydAir MG, LydAir MB, LydAir SC, LydAir GP, LyPore Defender, LyPore MB, LyPore SC, LyPore XL, Lytherm, ManniGlas, Select-A-Seal, dBCore, dBLyte, ZeroClearance, Fiberlox, Checkstatic, Microfelt, Pleatlox, Ultratech, Powertech, Powerlox, Microcap, Duotech
Major Markets
Specialty insulation, sealing, high-efficiency air and liquid filtration media and automotive
The latest news from Lydall, Inc. is a proposed changed in ownership which is scheduled for later this year. In June, Unifrax, a leading global provider of high-performance specialty materials focused on thermal management, specialty filtration, battery materials, emission control and fire protection applications backed by Clearlake Capital Group, L.P. (“Clearlake”), signed definitive agreements to acquire the company, including its 23 manufacturing facilities around the world. Lydall reportedly caught Unifrax’s attention because it is well positioned to capitalize on growth in clean air filtration and electric vehicle adoption, among many other attractive markets.
Under the terms of the agreement, Lydall shareholders will receive $62.10 per share in cash for each share outstanding, implying a total enterprise value of approximately $1.3 billion. The deal should close in the second half of 2021.
“The combination of Unifrax and Lydall creates a global specialty materials platform with new cutting edge technologies in advanced filtration, electric vehicle battery systems, and energy saving applications,” says John Dandolph, president and CEO of Unifrax. “The addition of Lydall’s people, technologies, and assets to the Unifrax portfolio will help accelerate our innovation pipeline and creates a world class platform capable of solving the world’s most pressing energy consumption, environmental and filtration challenges. We are excited to partner with a company that is similarly focused on our commitment to a Greener, Cleaner, and Safer world.”
Sara Greenstein, president and CEO of Lydall, adds, “We are excited about the combination of Lydall and Unifrax. With this transaction, we are creating a leader in specialty filtration and advanced materials with over 250 years of combined expertise and experience delivering innovative and compelling solutions to customers worldwide.”
During the past 18 months, Lydall has invested approximately $40 million in meltblown nonwoven assets in response to increased demand for face mask material. The company added two meltblown lines in Rochester, NH, and one in Saint-Rivalain, France.
The U.S. investment was partially funded through a $13.5 million contract award with the U.S. Department of Defense (DOD). Lydall can make material for 140 million N95 respirators, 540 million surgical masks or high-performing air filtration media to improve air quality in indoor space on the two lines.
The installation of these two new production lines made Lydall’s New Hampshire facility the largest site for meltblown filtration media production in the U.S. and a center of excellence for advanced filtration media innovation. To support the wider need for improved air quality beyond Covid-19, Lydall’s innovation team is focused on developing new carbon-based, high-efficiency media for MERV-, HEPA- and ULPA-grade filters for hospitals, airplanes, restaurants, office buildings and other public spaces. Lydall expects to generate new jobs to support the increase in production.
The contract award is a product of the ongoing collaboration between the Department of Defense and the Department of Health and Human Services, led by the Department’s Joint Acquisition Task Force and funded through the Coronavirus Aid, Relief, and Economic Security (CARES) Act.
Similarly, Lydall’s investment in France was partially funded by France’s Ministry of Economy and Finance.
All three lines were constructed and commercialized in record time, according to executives. The result has been significant growth. Even into 2021, the company continues to report strong sales of this material as the lines contributed incremental growth in the company’s Performance Materials segment.
“Our Performance Materials (“PM”) business saw continued strong demand in specialty filtration led by higher sales of fine fiber meltblown media as well as sealing solutions which benefited from favorable trends in transportation, agricultural, and construction end markets,” Greenstein reported during the company’s second quarter 2021 earnings call. “PM sealing and advanced solutions products were up 49.5% and specialty filtration sales grew 14.9%. The PM team commissioned additional fine fiber meltblown capacity at our Rochester, New Hampshire, and St. Rivalain, France, facilities, ahead of schedule and under budget.”
As the company was ramping up its face mask and respirator materials business, the company was also scaling back production in other areas, particularly at its sites in Hamptonville and Yadkinville, NC; Meinerzhagen, Germany; and St. Nazaire, France, in response to a number of Lydall’s largest automotive OEM customers having temporarily ceased operations.
In overall corporate sales, Lydall’s reported a decline in sales to $764 million in 2020 as significant increases in its filtration businesses were not enough to offset slowdowns in its Technical Nonwovens business, due to lower demand in industrial end use markets, and its Thermal and Acoustical business, which was largely attributed to disruptions in the automotive markets.
The company did however report recovery during the second half of 2021 and took some actions to offset declines in key businesses. In addition to increasing its focus on meltblown and materials for face masks, the company repurposed its Texel automotive business in Canada to make healthcare gowns for first responders in New York City and increased its nonwovens for healthcare materials like medical wipes, pads and gowns.
www.lydall.com
2020 Nonwovens Sales: $764 million
Key Personnel
Sara Greenstein, president and CEO; Ashish Diwanji, president, Performance Materials; Robb Junker, president Technical Nonwovens; Joe Abbruzzi, president, Thermal Acoustical Solutions
Plants
Rochester, NH; Saint Rivalain, France; Green Island, NY; Lancaster, PA; Fulton, NY; Hoosick Falls, NY; Beaver Falls, NY; Marshalltown, IA; Altenkirchen, Germany; Heerlen, The Netherlands; Hamptonville, NC; Yadkinville, NC; North Augusta, SC; Bethune, SC; Rawtenstall, U.K.; Bury U.K.; Stoke-on-Trent, U.K.; Wuxi, China; Yixing, China; Taicang, China; Shanghai, China; Quebec, Canada; Fulda, Germany; Meinerzhagen, Germany; St. Nazaire, France
Brands
AppLY Mat, Biotherm, CRS Wrap, Cryo-Lite, LydAir MG, LydAir MB, LydAir SC, LydAir GP, LyPore Defender, LyPore MB, LyPore SC, LyPore XL, Lytherm, ManniGlas, Select-A-Seal, dBCore, dBLyte, ZeroClearance, Fiberlox, Checkstatic, Microfelt, Pleatlox, Ultratech, Powertech, Powerlox, Microcap, Duotech
Major Markets
Specialty insulation, sealing, high-efficiency air and liquid filtration media and automotive
The latest news from Lydall, Inc. is a proposed changed in ownership which is scheduled for later this year. In June, Unifrax, a leading global provider of high-performance specialty materials focused on thermal management, specialty filtration, battery materials, emission control and fire protection applications backed by Clearlake Capital Group, L.P. (“Clearlake”), signed definitive agreements to acquire the company, including its 23 manufacturing facilities around the world. Lydall reportedly caught Unifrax’s attention because it is well positioned to capitalize on growth in clean air filtration and electric vehicle adoption, among many other attractive markets.
Under the terms of the agreement, Lydall shareholders will receive $62.10 per share in cash for each share outstanding, implying a total enterprise value of approximately $1.3 billion. The deal should close in the second half of 2021.
“The combination of Unifrax and Lydall creates a global specialty materials platform with new cutting edge technologies in advanced filtration, electric vehicle battery systems, and energy saving applications,” says John Dandolph, president and CEO of Unifrax. “The addition of Lydall’s people, technologies, and assets to the Unifrax portfolio will help accelerate our innovation pipeline and creates a world class platform capable of solving the world’s most pressing energy consumption, environmental and filtration challenges. We are excited to partner with a company that is similarly focused on our commitment to a Greener, Cleaner, and Safer world.”
Sara Greenstein, president and CEO of Lydall, adds, “We are excited about the combination of Lydall and Unifrax. With this transaction, we are creating a leader in specialty filtration and advanced materials with over 250 years of combined expertise and experience delivering innovative and compelling solutions to customers worldwide.”
During the past 18 months, Lydall has invested approximately $40 million in meltblown nonwoven assets in response to increased demand for face mask material. The company added two meltblown lines in Rochester, NH, and one in Saint-Rivalain, France.
The U.S. investment was partially funded through a $13.5 million contract award with the U.S. Department of Defense (DOD). Lydall can make material for 140 million N95 respirators, 540 million surgical masks or high-performing air filtration media to improve air quality in indoor space on the two lines.
The installation of these two new production lines made Lydall’s New Hampshire facility the largest site for meltblown filtration media production in the U.S. and a center of excellence for advanced filtration media innovation. To support the wider need for improved air quality beyond Covid-19, Lydall’s innovation team is focused on developing new carbon-based, high-efficiency media for MERV-, HEPA- and ULPA-grade filters for hospitals, airplanes, restaurants, office buildings and other public spaces. Lydall expects to generate new jobs to support the increase in production.
The contract award is a product of the ongoing collaboration between the Department of Defense and the Department of Health and Human Services, led by the Department’s Joint Acquisition Task Force and funded through the Coronavirus Aid, Relief, and Economic Security (CARES) Act.
Similarly, Lydall’s investment in France was partially funded by France’s Ministry of Economy and Finance.
All three lines were constructed and commercialized in record time, according to executives. The result has been significant growth. Even into 2021, the company continues to report strong sales of this material as the lines contributed incremental growth in the company’s Performance Materials segment.
“Our Performance Materials (“PM”) business saw continued strong demand in specialty filtration led by higher sales of fine fiber meltblown media as well as sealing solutions which benefited from favorable trends in transportation, agricultural, and construction end markets,” Greenstein reported during the company’s second quarter 2021 earnings call. “PM sealing and advanced solutions products were up 49.5% and specialty filtration sales grew 14.9%. The PM team commissioned additional fine fiber meltblown capacity at our Rochester, New Hampshire, and St. Rivalain, France, facilities, ahead of schedule and under budget.”
As the company was ramping up its face mask and respirator materials business, the company was also scaling back production in other areas, particularly at its sites in Hamptonville and Yadkinville, NC; Meinerzhagen, Germany; and St. Nazaire, France, in response to a number of Lydall’s largest automotive OEM customers having temporarily ceased operations.
In overall corporate sales, Lydall’s reported a decline in sales to $764 million in 2020 as significant increases in its filtration businesses were not enough to offset slowdowns in its Technical Nonwovens business, due to lower demand in industrial end use markets, and its Thermal and Acoustical business, which was largely attributed to disruptions in the automotive markets.
The company did however report recovery during the second half of 2021 and took some actions to offset declines in key businesses. In addition to increasing its focus on meltblown and materials for face masks, the company repurposed its Texel automotive business in Canada to make healthcare gowns for first responders in New York City and increased its nonwovens for healthcare materials like medical wipes, pads and gowns.
