Rogers Corporation is expanding the portfolio of its Elastomeric Material Solutions business (EMS)in cellular sponge and specialty extruded silicone profile technologies with the acquisition of Diversified Silicone Products, Inc. (DSP), a custom silicone product development and manufacturing business serving a wide range of high reliability applications.
The move will also strengthen Rogers’ existing expertise in precision-calendered silicone and silicone formulating and compounding.
“The acquisition of Diversified Silicone Products, Inc., in combination with our recent DeWAL acquisition, demonstrates continued execution on our strategy to extend our engineered materials platforms, with the acquired companies generating approximately US$70 million of annual revenues in total,” said Bruce Hoechner, president and chief executive officer of Rogers Corporation, a global leader in engineered material solutions.
“DSP provides additional silicone growth opportunities, adding solid silicone sheet and custom extruded profile product offerings, and will contribute additional revenues in attractive vertical end markets including aerospace, general industrial and life sciences.We look forward to creating significant value for our shareholders and customers with a successful integration in the months ahead,”Hoechner added.
Terms of the transaction were not disclosed. Trailing twelve month revenues for DSP were approximately US$20 million, and Rogers expects DSP’s profitability to be comparable to EMS’ current product lines. The company expects the transaction to be accretive to 2017 earnings per share.