TAGS: Part Design & Manufacturing Automotive
Novares announced the acquisition of a US based company, Miniature Precision Components (“MPC”). MPC is an automotive sector thermoplastic company producing highly engineered plastic components and integrated modules for vehicle powertrains.
Novares’ Engine Business Size Doubled
The acquisition of MPC, with a turnover of $265m 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. This transaction also:
- Consolidates Novares’ presence in North America
- Adds six manufacturing sites to the Group’s eight existing sites in the region (five in the U.S. and one in Mexico)
This reinforcement of Novares’ footprint in North America strengthens its commitment to remain close to its customers, allowing for joint development activities and technical support. Furthermore, MPC’s attractive customer portfolio, which includes Ford, General Motors, FCA, Nissan and Toyota, ensures that the new Group will now supply powertrain parts to all major OEMs worldwide.
Prospective Outcomes of the Acquisition
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
- Underhood applications such as engine/transmission sealing, air/fluid management and emissions control
- Development of new products by Novares using MPC’s 3D suction blow molding and molded foam capabilities
- Reinforcement in its expertise, workforce and innovation capability in engine product engineering
MPC, founded in 1972 and now counting nearly 1,600 employees, 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
- 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 €1.5bn with 47 Plants, operated by 12 000 associates in 22 countries.
Novares-MPC Acquisiton
Pierre Boulet, CEO of Novares, stated: “The acquisition of MPC, a leader in a fast-growing market, marks an important step for the development of Novares’ powertrain business, which will now have a global reach and reinforced value-added product portfolio. It is also in line with our strategy to be an agile global partner for our customers with the ambitious goal of reaching €2bn in sales by 2020 through targeted external and internal growth operations as well as organic innovation. Novares has a proven record of successful mergers and integrations and we are all looking forward to working with the talented and highly respected teams at MPC, which already share the same Metal To Plastic DNA, our passion for technical excellence and our core values.”
Vadim Yakubov, COO of MPC, commented: “We are very excited to join Novares, whose established global footprint and balanced customer portfolio will allow us to expand sales into new areas and give our clients access to Novares’ extensive production and R&D capacities.
Source: Novares