TORONTO, Nov. 16, 2015
/CNW/ - Magellan Aerospace Corporation is pleased to announce that
it has, through a wholly owned subsidiary, Magellan Aerospace
Processing, Long Island, Inc.,
acquired substantially all the assets of Lawrence Ripak Co. Inc.
and Ripak Aerospace Processing LLC ("Ripak") for $USD 23.7 million,
subject to normal working capital adjustments. Ripak is an
aerospace processing facility located in Long Island, New York. For more than 60
years Ripak has been in business providing a full range of
non-destructive test (NDT) services, anodizing, plating, painting,
shot peening and other processing to over four hundred customers
worldwide.
Magellan's President and Chief Executive Officer,
Phillip Underwood commented,
"The acquisition of Ripak establishes a North American capability
in processing that adds capacity and is complementary to Magellan's
existing processing facilities in the UK, Poland and India." It is intended that the company
will conduct business under the trade name of Ripak Aerospace
Processing and will operate as an independent division reporting to
Magellan's Vice President of North American Operations.
"This acquisition provides Magellan control over a comprehensive
processing facility in the US, helping to secure a critical supply
chain for our customers in the north eastern region of the United States," Mr. Underwood continued,
"in addition it allows for the potential introduction of additional
capabilities and applications, as our business continues to
evolve."
Since 1952, Ripak has grown to a facility of more than150
personnel with 97,500 square feet of processing capability.
The company's quality system is Nadcap certified and provides a
full suite of customer and Nadcap approved processes to their
customer base.
About Magellan Aerospace
Magellan Aerospace is a global, integrated aerospace company
that provides complex assemblies and systems solutions to aircraft
and engine manufacturers, and defense and space agencies worldwide.
Magellan designs, engineers, and manufactures aeroengine and
aerostructure assemblies and components for aerospace markets,
advanced products for military and space markets, industrial power
generation, and specialty products. Magellan is a public company
whose shares trade on the Toronto Stock Exchange (TSX: MAL), with
operating units throughout Canada,
the United States, the
United Kingdom, India, and Poland.
Forward Looking Statements
This press release contains information and statements of a
forward-looking nature and is based on assumptions and
uncertainties as well as on management's reasonable evaluation of
future events related to the anticipated benefits to be achieved by
Magellan and Ripak as a result of Magellan's acquisition of Ripak.
Such forward-looking statements are based on a number of
assumptions including the ability of Magellan and Ripak to
integrate their operations and achieve the synergies contemplated.
These statements are not guarantees of future performance and
involve risks and uncertainties that are difficult to predict,
and/or are beyond Magellan's control including the risk that
Magellan and Ripak do not achieve the anticipated benefits of the
acquisition as contemplated and the risks and uncertainties set
forth in Magellan's Annual Information Form filed on SEDAR at
www.sedar.com which risks and uncertainties are incorporated by
reference in this press release. A number of important factors
could cause actual outcomes and results to differ materially from
those expressed in these forward-looking statements. Furthermore,
the forward-looking statements contained herein are made as at the
date hereof and Magellan does not undertake any obligation to
update publicly or to revise any of the included forward-looking
statements, whether as a result of new information, future events
or otherwise, except as may be required by applicable securities
laws.
SOURCE Magellan Aerospace Corporation
