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July 21, 2016 02:00 AM

Vip buys pipe unit of Excalibur Extrusions

Catherine Kavanaugh
Plastics News
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    Vip Rubber and Plastic Co.
    Vip Rubber and Plastic Co. already has plastic extrusion capabilities. It is adding pipe production with the acquisition of the plastic pipe division of Excalibur Extrusions.

    LA HABRA, Calif.—Vip Rubber and Plastic Co. of La Habra, Calif., is expanding its product offerings with the acquisition of the plastic pipe division of Excalibur Extrusions, which is based in Placentia, Calif.

    Vip President Howard Vipperman said the purchase of the pipe equipment and manufacturing tools from Excalibur, a 40-year-old business, by Vip, a manufacturing operation founded in 1961, made for a deal that combines experience and proven success.

    Terms of the acquisition were not disclosed.

    Vip is a family owned and operated business that serves the automotive, aerospace, defense and other industries. Corporate sales were $33 million for the fiscal year that ended in July 2015 with profile and tubing sales at $15 million. That compared to global sales of $30 million and profile and tubing sales of $13 million the previous year.

    Vip's sales breakdown had been about 80 percent profiles and 20 percent tubing.

    “We already extrude rubber and plastic, mold rubber and produce rubber sheet, so the addition of plastic pipe to our capabilities gives our customers an even wider scope of custom options,” Vipperman said in a news release.

    Vip has not run pipe in the past so the acquisition opens up new markets, such as plumbing, water treatment, mining and microelectronics, added Cindy LeClair, vice president of sales and marketing, in an email.

    Excalibur produces pipe made from ABS, polyethylene, PVC and chlorinated PVC in diameters from an eighth of an inch to 6 inches with plain and belled ends, LeClair said. The pipe is available in round and square shapes in white, gray or clear PVC.

    Vip has acquired everything necessary to continue running product with no down time, LeClair said, noting the Excalibur facility was not part of the acquisition. Vip will bring the plastic pipe division in-house, at either its La Habra or Minden, Nev., manufacturing plant.

    “The decision will be dependent upon serving each customer in the absolute best way,” LeClair said. “The transitions will be seamless and customers should expect zero disruption in their product manufacturing.”

    Pipe sales make up about 30 percent of Excalibur's estimated $7.5 million of sales while tubing accounts for about 60 percent of sales and profiles are at 10 percent.

    Vip expects about 20-30 Excalibur employees to join its current workforce of about 180 people.

    “As Vip continues to grow and expand, this purchase absolutely could result in the creation of new jobs,” LeClair said.

    Last year Vip acquired Bandlock, the non-fenestration custom extrusion division of Ontario, Calif.-based AmesburyTruth, to increase capacity and add services, such as laser printing, hot stamp foils, glow-in-the-dark materials, notching and polycarbonate. About six months later, Vip moved the operation to Minden, Nev.

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