French group Novares acquires Wisconsin-based manufacturer MPC, including one plant in Sonora
Novares announced the acquisition of Wisconsin-based Miniature Precision Components (MPC), a thermoplastic company that produces highly engineered plastic components and integrated modules for vehicle powertrains. The financial terms of the deal were not disclosed.
“The acquisition of MPC, with a turnover of US$265 million in 2018, nearly doubles the size of Novares’ engine business, giving it a critical size and a global reach to position itself amongst the top global powertrain parts suppliers,” said in a statement the French plastic automotive components manufacturer.
The transaction also consolidates Novares’ presence in North America, adding six manufacturing sites to the Group’s eight existing sites in the region. Five plants are located in the U.S. and one in the municipality of Santa Ana, Sonora, 60 miles south of the border city of Nogales.
This reinforcement of Novares’ footprint in North America will allow joint development activities and technical support. Furthermore, MPC’s attractive customer portfolio, which includes Ford, General Motors, FCA, Nissan and Toyota, ensures that Novares will now supply powertrain parts to all major OEMs worldwide.
Beyond its deep client and footprint complementarities with Novares, MPC also brings a range of high-quality and innovative components that are used in complex, system-critical powertrain and under-the-hood applications such as engine/transmission sealing, air/fluid management and emissions control.
MPC’s 3D suction blow molding and molded foam capabilities will allow Novares to develop new products and to reinforce its expertise, workforce and innovation capability in engine product engineering.
MPC will also benefit from Novares’ expertise in plastic auto parts and global footprint. It will also be able to leverage the Group’s diversified customer portfolio to expand sales beyond its existing markets, primarily to European and Asian OEMs.
Meanwhile, MPC’s clients will benefit from Novares global integrated portfolio of 7 product lines and from its established customer proximity with its 41 production plants and technical supports.
Through this acquisition, Novares Group is reaching a revenue of US$1.69 billion with 47 plants, six of them in Mexico, operated by 12,000 associates in 22 countries.