LAKE GENEVA, Wis.-Trostel Ltd. parent Dickten & Masch L.L.C. has sold the industrial tire and wheel-making division of Trostel Specialty Elastomer Group Inc. of Lake Geneva to Sweden´s Hexagon Polymers A.B.
The deal is part of a larger reorganization by Dickten & Masch of its plastics processing activities, which will include the phase-out of plastics production at Lake Geneva.
Acquiring the Trostel business, which has annual sales of $13 million, makes Hexagon a global supplier of wheels for forklift truck and caster wheel applications, the company said. The terms of the deal, expected to close Sept. 2, weren´t disclosed.
Hexagon President Lars Olofsson said earlier this year the company wanted to expand this business geographically, with the addition of a manufacturing operation in the U.S. being a prime target.
Hexagon Polymers´ Stellana A.B. business unit makes tires and wheels at plants in Laxa, Sweden, and Piliyandala, Sri Lanka.
Trostel SEG produces polyurethane tires and wheels for electric forklift trucks and general industry and calls itself a "major supplier in North America with good relationships with the OEM lift truck industry."
Hexagon said it will continue to manufacture at the current location, which also has all the requirements for an expansion.
Hexagon Polymers comprises Gislaved Gummi, Stellana, GFD Technology, Elastomeric Engineering and the Thona Group.
The business area works within four product areas: gaskets for plate heat exchangers, plastic and rubber wheels for truck and track drive applications, rubber compounds as semi-products and extrusions for the construction industry. Fiscal 2004 sales were $220 million.
As for Trostel SEG, Dickten & Masch plans to lay off up to 48 workers in Lake Geneva and transfer equipment to plants in Ankeny, Iowa; Hattiesburg, Miss.; and Nashotah, Wis., according to Randall Perry, president and CEO, in an Aug. 1 letter to the Wisconsin Department of Workforce Development.
Trostel´s rubber molding and rubber compounding operations in Whitewater, Wis., are unaffected by these deals.