High-tech surface and components specialist Nanogate (Quierschied-Göttelborn / Germany; www.nanogate.com) has acquired its first US subsidiary. In a deal amounting to a mid-double-digit million EUR range, the German company has entered into an agreement to purchase the Plastics division of Jay Industries (Mansfield, Ohio / USA; www.jayindinc.com). The transaction is expected to be completed in 2017 once Jay Plastics is spun off from its current parent.

A complimentary fit, Jay Plastics is one of the leading US providers of high-end components and performance surfaces, with a customer base that includes major US, Japanese and South Korean automotive manufacturers and suppliers. The company’s 400 employees are spread across two sites – in addition to the main plant in Mansfield, the company also operates a facility in Alabama / USA. Its surface polymer components are used in the household appliances segment, too.

The purchase will set Nanogate up as a leading global specialist for design-oriented high-tech surfaces and components, the company said, adding that the addition of Jay Plastics will allow it to globally service companies while at the same time achieving significant synergies in development, sales and production. Nanogate expects to see an immediate jump in sales to more than EUR 150m once the transaction is complete. Apart from that, it says the purchase will grant it direct access to an “international market worth billions.” In addition to boosting its sales potential in the US, the purchase will also improve its market access in Asia, Nanogate said.

Jay Plastics is expected to post 2016 sales in a mid-double-digit million EUR range, and anticipates that its revenues will rise to more than EUR 150m by 2017. Commenting on the purchase, Nanogate CEO Ralf Zastrau said, “As regards its technology portfolio and access to customers, Jay Plastics is the American counterpart to our existing activities and is a real gem.” Jay Plastics CEO Rick Taylor added, “Together, we are a strong pair for innovative surfaces and plastic components on both sides of the Atlantic.”