GenTek Inc. Announces The Acquisition Of
The Assets of Repauno Products, LLC
Thursday July 27, 4:51 pm ET
PARSIPPANY, N.J.--(BUSINESS WIRE)--July 27, 2006--GenTek Inc. announced today that it has acquired the assets of Repauno Products, LLC. The acquisition includes the manufacturing facility in Gibbstown, N.J. and its 23 employees. Repauno Products, LLC manufactures sodium nitrite which is used in a wide range of industries including metal finishing, heat transfer salts, rubber processing, meat curing, odor control and inks and dyes. The Repauno operation compliments the Sodium Nitrite manufacturing facility in Syracuse, NY operated by General Chemical LLC, an operating unit of GenTek, Inc.
The purchase price of the transaction is approximately $4.5 million cash, plus working capital, subject to adjustment based upon the final valuation of the acquired inventory. The purchase of the assets will be funded from cash from operations. This acquisition is expected to be accretive in 2007.
Commenting on the transaction, Thomas Testa, Vice President and General Manager of General Chemical noted "This acquisition strengthens our market position with our present customer base and will make us a much more efficient supplier of sodium nitrite into North America." William E. Redmond, Jr., GenTek's President and Chief Executive Officer added, "This strategic investment in our chemical business, in addition to our recently announced growth investment in GT Technologies, is consistent with our strategies of driving for operating efficiency as well as profitable growth in our core business segments."
About GenTek Inc.
GenTek provides specialty inorganic chemical products and services for treating water and wastewater, petroleum refining, and the manufacture of personal-care products, valve-train systems and components for automotive engines and wire harnesses for large home appliance and automotive suppliers. GenTek operates over 60 manufacturing facilities and technical centers and has approximately 6,500 employees.
GenTek's 2,000-plus customers include many of the world's leading manufacturers of cars and trucks, heavy equipment, appliances and office equipment, in addition to global energy companies and makers of personal-care products.
Source: GenTek Inc.
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