09.11.17
Manchester, CT
www.lydall.com
2017 Nonwovens Sales: $522 million
Key Personnel
Dale Barnhart, president and CEO; Paul Marold, president, Performance Materials
Plants
Rochester, NH; Saint Rivalain, France; Green Island, NY; Heerlen, The Netherlands; Hamptonville, NC; Yadkinville, NC. Industrial Filtration locations: North Augusta, SC; Bethune, SC; Rawtenstall, U.K.; Bury U.K.; Stoke-on-Trent, U.K.; Wuxi, China; Shanghai, China
Brands
AppLY Mat, Arioso, Biotherm, CRS Wrap, Cryo-Lite, LydAir MG, LydAir MB, LydAir SC, LyPore Defender, LyPore MB, LyPore SC, LyPore XL, Lytherm, ManniGlas, Solupor, dBCore, dBLyte, ZeroClearance. Industrial filtration brands: Fiberlox, Checkstatic, Microfelt, Pleatlox, Ultratech, Powertech, Powerlox, Microcap, Duotech
Major Markets
Specialty insulation, high-efficiency air and liquid filtration media and automotive
Acquisition continues to be a strategy for growth for Lydall Inc. The maker of specialty engineered products and materials has announced two acquisitions in recent months, both of which will help it expand into new markets while expanding its role in existing areas.
Last month, Lydall entered into an agreement to acquire Interface Performance Materials for $265 million. The acquisition is expected to further advance Lydall’s engineered materials offering into new markets with similar technologies as those used in the company’s Performance Materials business. Interface, based in Lancaster, PA, is a leading globally recognized brand that delivers complete sealing solutions with a comprehensive product portfolio, deep in-house technical capabilities and vertical integration.
A leader in the delivery of engineered sealing solutions, Interface partners with OEMs and Tier I manufacturers to serve both original equipment and aftermarket needs in segments such as agriculture, construction, earthmoving, industrial and automotive. Headquartered in Lancaster, PA, Interface supports its global sales with manufacturing sites in the U.S., Germany and India.
Interface’s reported sales for 2017 were $142 million, and the business is expected to achieve sales of approximately $150 million 12 months ending August 31, 2018. Lydall expects to leverage its business efficiencies, operating discipline and economies of scale to generate an estimated annual cost savings of approximately $4 million by 2020.
“We are extremely excited about yet another transformational acquisition for Lydall. Interface Performance Materials expands our engineered materials portfolio with favorable margins while further shifting our concentration away from automotives, which continues to be the focus of our long-term strategy. Interface is very well known in the industry for providing high-quality solutions and is uniquely positioned with deep in-house expertise for research, design, testing, production and fabrication,” says CEO Dale Barnhart. “Additionally, the culture, innovation and technology similarities between Interface and our legacy Performance Materials business create a complementary fit and provide opportunities for future growth. We look forward to welcoming Interface’s employees to the family once the deal closes.”
One month earlier, Lydall announced it would build upon its existing HVAC filtration business through the acquisition of the Precision Filtration division of Precision Custom Coatings in Totowa, NJ.
Precision Filtration is a long-time producer of high-quality, air filtration media principally serving the commercial and residential HVAC markets with MERV 7 – 11 products.
The addition of these products and capabilities will enable Lydall to provide its customers with a full range of air filtration media from low efficiency MERV 7 through high-performing ULPA. Additionally, this acquisition further enhances Lydall’s flexibility in manufacturing, planning and logistics for its new and existing customers. Full integration into Lydall is expected by the end of 2018.
“We are extremely excited about the acquisition of the filtration business of Precision Custom Coatings as it coincides perfectly with our strategy of continuing to grow our product offering in the filtration space with high-quality products that are valued by our customers,” vice president of Advanced Nonwovens Paul Marold says. “Precision Custom Coatings has developed excellent products while nurturing strong relationships with a customer base that is complementary to ours. This will lead to a seamless transition to Lydall Performance Materials.”
A steady stream of investments has helped boost Lydall’s nonwovens business in recent years. In 2017, the company’s nonwovens sales were about $522 million including contributions from its Technical Nonwovens, Performance Materials and Thermal/Acoustical Fibers divisions.
Lydall’s acquisition of Gutsche was completed at the very end of 2016, strengthening Lydall’s role in filtration as well as other engineered technical material segments and providing Lydall with production facilities in Germany and China. This acquisition was integrated into Lydall’s Technical Nonwovens segment, which contains two divisions, industrial filtration and advanced nonwovens.
Lydall created the Technical Nonwovens segment in July 2016 when it announced the acquisition of Texel, a Canadian needlepunch manufacturer. In 2017, Technical Nonwovens represented 38.5% of sales compared to 27.4% of sales in 2016. Sales in the segment grew 73%. While the Texel and Gutsche acquisitions were largely responsible for this growth, organic sales also grew 16.5% thanks to the recovery of the power generation markets and strong internal sales to Lydall’s thermal/acoustical fibers division.
Lydall’s legacy nonwovens businesses are grouped into two segments—Performance Materials and Thermal/Acoustical Fibers. Performance Materials includes filtration media solutions for air, fluid power and industrial applications as well as thermal insulation solutions for building products, appliances and energy and industrial markets. In 2016, sales from this segment represented 16.7% of net sales compared to 19.6% in 2015.
The thermal/acoustical fibers segment offers innovative engineered products to assist in noise vibration and hardness, abatement and thermal protections within the transportation segment. Products are found in the interior, underbody, and under hood of cards, trucks, SUVs and recreational vehicles.
www.lydall.com
2017 Nonwovens Sales: $522 million
Key Personnel
Dale Barnhart, president and CEO; Paul Marold, president, Performance Materials
Plants
Rochester, NH; Saint Rivalain, France; Green Island, NY; Heerlen, The Netherlands; Hamptonville, NC; Yadkinville, NC. Industrial Filtration locations: North Augusta, SC; Bethune, SC; Rawtenstall, U.K.; Bury U.K.; Stoke-on-Trent, U.K.; Wuxi, China; Shanghai, China
Brands
AppLY Mat, Arioso, Biotherm, CRS Wrap, Cryo-Lite, LydAir MG, LydAir MB, LydAir SC, LyPore Defender, LyPore MB, LyPore SC, LyPore XL, Lytherm, ManniGlas, Solupor, dBCore, dBLyte, ZeroClearance. Industrial filtration brands: Fiberlox, Checkstatic, Microfelt, Pleatlox, Ultratech, Powertech, Powerlox, Microcap, Duotech
Major Markets
Specialty insulation, high-efficiency air and liquid filtration media and automotive
Acquisition continues to be a strategy for growth for Lydall Inc. The maker of specialty engineered products and materials has announced two acquisitions in recent months, both of which will help it expand into new markets while expanding its role in existing areas.
Last month, Lydall entered into an agreement to acquire Interface Performance Materials for $265 million. The acquisition is expected to further advance Lydall’s engineered materials offering into new markets with similar technologies as those used in the company’s Performance Materials business. Interface, based in Lancaster, PA, is a leading globally recognized brand that delivers complete sealing solutions with a comprehensive product portfolio, deep in-house technical capabilities and vertical integration.
A leader in the delivery of engineered sealing solutions, Interface partners with OEMs and Tier I manufacturers to serve both original equipment and aftermarket needs in segments such as agriculture, construction, earthmoving, industrial and automotive. Headquartered in Lancaster, PA, Interface supports its global sales with manufacturing sites in the U.S., Germany and India.
Interface’s reported sales for 2017 were $142 million, and the business is expected to achieve sales of approximately $150 million 12 months ending August 31, 2018. Lydall expects to leverage its business efficiencies, operating discipline and economies of scale to generate an estimated annual cost savings of approximately $4 million by 2020.
“We are extremely excited about yet another transformational acquisition for Lydall. Interface Performance Materials expands our engineered materials portfolio with favorable margins while further shifting our concentration away from automotives, which continues to be the focus of our long-term strategy. Interface is very well known in the industry for providing high-quality solutions and is uniquely positioned with deep in-house expertise for research, design, testing, production and fabrication,” says CEO Dale Barnhart. “Additionally, the culture, innovation and technology similarities between Interface and our legacy Performance Materials business create a complementary fit and provide opportunities for future growth. We look forward to welcoming Interface’s employees to the family once the deal closes.”
One month earlier, Lydall announced it would build upon its existing HVAC filtration business through the acquisition of the Precision Filtration division of Precision Custom Coatings in Totowa, NJ.
Precision Filtration is a long-time producer of high-quality, air filtration media principally serving the commercial and residential HVAC markets with MERV 7 – 11 products.
The addition of these products and capabilities will enable Lydall to provide its customers with a full range of air filtration media from low efficiency MERV 7 through high-performing ULPA. Additionally, this acquisition further enhances Lydall’s flexibility in manufacturing, planning and logistics for its new and existing customers. Full integration into Lydall is expected by the end of 2018.
“We are extremely excited about the acquisition of the filtration business of Precision Custom Coatings as it coincides perfectly with our strategy of continuing to grow our product offering in the filtration space with high-quality products that are valued by our customers,” vice president of Advanced Nonwovens Paul Marold says. “Precision Custom Coatings has developed excellent products while nurturing strong relationships with a customer base that is complementary to ours. This will lead to a seamless transition to Lydall Performance Materials.”
A steady stream of investments has helped boost Lydall’s nonwovens business in recent years. In 2017, the company’s nonwovens sales were about $522 million including contributions from its Technical Nonwovens, Performance Materials and Thermal/Acoustical Fibers divisions.
Lydall’s acquisition of Gutsche was completed at the very end of 2016, strengthening Lydall’s role in filtration as well as other engineered technical material segments and providing Lydall with production facilities in Germany and China. This acquisition was integrated into Lydall’s Technical Nonwovens segment, which contains two divisions, industrial filtration and advanced nonwovens.
Lydall created the Technical Nonwovens segment in July 2016 when it announced the acquisition of Texel, a Canadian needlepunch manufacturer. In 2017, Technical Nonwovens represented 38.5% of sales compared to 27.4% of sales in 2016. Sales in the segment grew 73%. While the Texel and Gutsche acquisitions were largely responsible for this growth, organic sales also grew 16.5% thanks to the recovery of the power generation markets and strong internal sales to Lydall’s thermal/acoustical fibers division.
Lydall’s legacy nonwovens businesses are grouped into two segments—Performance Materials and Thermal/Acoustical Fibers. Performance Materials includes filtration media solutions for air, fluid power and industrial applications as well as thermal insulation solutions for building products, appliances and energy and industrial markets. In 2016, sales from this segment represented 16.7% of net sales compared to 19.6% in 2015.
The thermal/acoustical fibers segment offers innovative engineered products to assist in noise vibration and hardness, abatement and thermal protections within the transportation segment. Products are found in the interior, underbody, and under hood of cards, trucks, SUVs and recreational vehicles.
