PITTSBURGH—Don't be surprised to see R.E. Carroll Inc. making an acquisition or two in the years ahead. The company, after all, is aggressively pursuing its vision for growth.
Just look at the last two years.
Within that span, R.E. Carroll acquired two companies—RHD Polymer and Chemical in 2023 and distributor ChemRep Inc. in June. And that timing? It's significant in demonstrating the kind of growth that R.E. Carroll has in mind.
Because the RHD Polymer and ChemRep acquisitions—coming less than two years apart—were the second and third in the company's 99-year history.
Simply, it's the growth vision in action.
"That is what our corporate mission is, it's to continue growing," R.E. Carroll Vice President David Carroll told Rubber News at the International Elastomer Conference. "Actually, we're looking at opportunities outside the rubber industry to grow. Coatings is the second biggest industry so that is our target.
"Looking forward, we are already working on potential targets for next year."
For now, though, the company is stabilizing its place in the rubber industry, having brought Wood Dale, Ill.-based ChemRep on board. For the near future, ChemRep will operate as a division of R.E. Carroll.
And that acquisition is important, Carroll said, mainly because it expands Ewing, N.J.-based R.E. Carroll's reach in the rubber industry.
"It allows us to expand into the rubber molding, extruding and processing side," Carroll said. "We have always been in compounding. … This allows us to cover the entire process from compounding all the way to processing."
Additionally, ChemRep brought its well-respected reputation and a whole host of products that weren't already part of the R.E. Carroll portfolio.
In fact, there was zero overlap when it came to product offerings.
"None of their product lines were something that we currently were selling in," Carroll said. "So it was a really nice complement to our existing product line, including some product lines that we have tried in the past like mold releases that we have not terribly been successful with but they have been."
In addition to the product lines—which R.E. Carroll has worked to maintain—the New Jersey-based firm also takes on a third-party warehouse in Itasca, Ill.
Having that Chicago-area presence gives R.E. Carroll the ability to better serve the Midwest.
"(The acquisition) brought us new principals and suppliers that we have not had relationships with prior, but it also provides a potential stocking location further west for us in the Chicago market, which is traditionally expensive to begin with," Carroll said. "We had looked at it, but the cost kept it prohibitive."
Ultimately, ChemRep was the perfect fit for R.E. Carroll as both were smaller, family-owned operations. In ChemRep's case, Carroll said, owner Mark Petras was retiring and looking for the perfect company to take over the business. And its reputation and approach to business—putting customers first by building strong relationships—mirrored R.E. Carroll.
"It worked out to be a nice fit for both," Carroll said.
