MIDDLEBURY, Conn. (April 1)—Crompton Corp. has agreed to put its Davis-Standard plastics and rubber machinery business into a joint venture with a private equity firm whose holdings include Black Clawson Converting Machinery Co.
Crompton emphasized it would have a controlling stake in the new company, which is to be called Davis-Standard L.L.C. Terms of the deal were not disclosed.
The venture, to be headquartered in Pawcatuck, Conn., will generate annual sales of about $220 million with 660 employees, Crompton said. The joint venture will be classified in Crompton's financials as an equity investment.
Davis-Standard makes rubber and plastics extrusion equipment and industrial blow-molding machines at factories in Somerville, N.J., and Pawcatuck, as well as in Germany and England. Black Clawson designs and makes equipment for the flexible web converting and plastics processing industries, principally at a plant in Fulton, N.Y.
The transaction, which is subject to regulatory approvals, is expected to close within the next 30 days.