Aeropres Corporation ("Aeropres") announced that they have signed an agreement to purchase the assets of Technical Propellants, Inc. ("Technical") effective Monday, July 18, 2011.
Technical is a key supplier of aerosol propellants, foam expansion agents, and refrigerant gases in the Midwest and Southeastern portion of the United States.
Aeropres has long?term plans to continue to operate its facility in Manhattan, IL and the newly acquired Technical facility in Morris, IL. The expansion will more than double Aeropres' ability to serve customers throughout the Midwest.
This agreement strengthens Aeropres' already industry'sbest supply chain position by adding yet another stream of reliable NGL propellant feedstock and providing an enhanced business continuity position for all customers nationwide, especially in the Midwest region. It will also provide a larger safety net of inventory on all propellants used, including 152a, DME, and 134a.
The acquisition by Aeropres will also augment Aeropres' logistics capabilities by providing customers with the largest available fleet of trailers, including the biggest fleet of twin barrel trailers and the industry's ONLY fleet of Super Barrel trailers, which deliver up to 2,000 gallons more per delivery than industry's standard delivery sizes. Customers can expect the most flexible and accommodating delivery service available anywhere.
"Technical worked hard over the years to build very special relationships with their customer base and created a nice niche for them in the industrial and household brands aerosol marketplace. Their key customer base is slightly different than Aeropres' key customer base, which primarily consists of paints and personal care aerosol fillers and marketers. This agreement provides Aeropres with an excellent strategic fit to pursue growth in our key markets for years to come," said Robert R. Wilkie, President of Aeropres.
Paul Kuehn, President & CEO of Technical Propellants, stated, "I am extremely grateful to our loyal customers and friends who have supported Technical over more than four decades. In pursuing this opportunity, I have learned a great deal about Aeropres and I am confident that they are deeply committed to our customer base and will provide all resources necessary to provide a smooth and orderly transition to our customers."
Mr. Kuehn continued, "I am also deeply indebted to our employees who helped build TPI to make it the success it is today. The fact that Aeropres plans to operate both Chicago area facilities was a key factor in our Board's decision to move forward with this sale. This provides a number of our employees the opportunity to continue their employment."