TriMas announces two new acquisitions

TriMas announced that it has recently signed agreements to acquire Omega Plastics ("Omega"), to be added to TriMas Packaging, and TFI Aerospace ("TFI"), to be added to TriMas Aerospace.

Located near Toronto, Canada, TFI is a leading manufacturer and supplier of specialty fasteners used in a variety of applications, predominantly for the aerospace end market. TFI currently operates as a private, family-owned company, and is expected to generate approximately $6 million in revenue in fiscal year 2021.

"In addition to expanding TriMas Packaging through the acquisition of Omega, we are also pleased to announce the acquisition of TFI," Amato continued. "This acquisition will further expand TriMas Aerospace's fastener product lines with the addition of complimentary niche products that have an exciting growth trajectory resulting from TFI's new program wins and the overall aerospace market recovery. We anticipate TFI's customers will benefit from the added innovation and manufacturing depth offered by TriMas Aerospace, while TriMas Aerospace's customers will enjoy additional product offerings."

Omega, located in Clinton Township, Michigan, specialises in manufacturing custom components and devices for drug delivery, diagnostic and orthopedic medical applications, as well as components for industrial applications. Omega leverages its advanced in-house tool making capabilities, ISO13485-certified injection molding facility and ISO Class 8 clean room to provide its customers a faster product development cycle, from prototype development, testing and validation, to short and medium run production and assembly. Omega is an approved vendor to several leading medical device companies, with a long track record of unparalleled service and quality. Omega currently operates as a private, family-owned company, and is expected to generate approximately $18 million in revenue in fiscal year 2021.

"We are excited to announce the agreement between TriMas and Omega," said Thomas Amato, President and Chief Executive Officer of TriMas. "We look forward to expanding Omega's production capacity to benefit its customers' longer-term needs, while also leveraging Omega's advanced tool making capabilities to add rapid prototyping to enhance TriMas Packaging's speed-to-market advantage on innovation and new product designs. The addition of Omega further expands our Pharmaceutical & Nutraceutical product offerings into additional medical applications, which we believe is an attractive market for long-term growth."

Amato continued, "We continue to execute on our core strategy of augmenting our growth through bolt-on acquisitions by leveraging our strong cash generation. After closing these two acquisitions, we expect our net leverage ratio to remain below 2.0x, providing ample capacity to execute on additional bolt-on acquisitions while also returning capital to shareholders through dividends and share buybacks."

TriMas expects to close on Omega by the end of the year, and closed on TFI simultaneously with signing.

"We look forward to welcoming both Omega and TFI to the TriMas family of businesses," concluded Amato.