Arvin has acquired coil coater
Arvin Industries Inc. of Columbus, Ind., in a bid to create North America's largest coil metal coating operation, has acquired the assets of WorldSource Coil Coating Inc. of Hawesville, Ky.
The acquisition will give Arvin's Roll Coater division combined sales of $200 million. Roll coating is the prepainting of metals to be fabricated by manufacturers in the automotive, construction and home appliance industries. WorldSource operated a single coil coating plant in Hawesville.
PUBLIC OFFERING - American Axle & Manufac-turing Inc. made its debut on Wall Street on Friday, Jan. 29, with an initial public offering priced at $17 a share. It closed at $16.56 a share the first day of trading. The offering generated $119 million minus expenses for the Detroit-based supplier of drive line and chassis systems and forged products. About 7 million shares were traded.
The company is expected to use the cash to pay down bank debt and to fund expansion plans.
EXPANSION - Johnson Con-trols Inc. is doubling the size of its Cottondale, Ala., manufacturing plant as it increases production of interior systems for the Mercedes-Benz M-Class sport-utility.
Johnson Controls Automo-tive Systems Group of Ply-mouth, Mich., will expand the plant from 65,000 square feet to 153,000 square feet to accommodate production of seats and overhead systems.
ACQUISITION - Lucas-Varity PLC completed the $390 million cash sale of its Heavy Vehicle Braking Sys-tems division to Meritor Automotive Inc. of Troy, Mich. The LucasVarity division, based in Dayton, Ohio, had sales of $290 million in fiscal 1997 and net assets of about $110 million.
The division employs about 1,800 at seven production and technical facilities in North America and Europe.
ASSET SALE - In the first step in its strategic restructuring, Tenneco Inc., based in Greenwich, Conn., agreed to sell its container board business in a $2.2 billion deal with Madison Dearborn Partners Inc.
Tenneco, which owns Tenneco Automotive, will receive $2 billion in cash and retain a 45 percent equity ownership in the business from Dearborn Partners, a Chicago-based private equity investment firm.