Phillips Corp., a global supplier of manufacturing technology based in Hanover, has sold a California division that specializes in insertion machines.
The Haeger Insertion Machine division in Oakdale, Calif., was acquired by Penn Engineering on Jan. 19 in a deal facilitated by SC&H Capital, a Baltimore-area investment banking firm that announced the deal.
Terms of the deal were not disclosed because both companies are privately held. Penn Engineering is expected to retain Heager’s employees.
The deal will allow Phillips to put more resources into the growth of its other business lines, including computer-guided machine tools.
“This was not an easy decision. We believe in Haeger’s world-class offerings, its growth potential...,” said Phillips CEO Alan Phillips. “But the outcome here proves that we made the right decision. Haeger and Penn Engineering as a combined entity are poised for greater growth in the fastener market. We at Phillips are in an even stronger position to reinvest in key initiatives at Phillips Corp. to grow our business that is headquartered right here in Maryland.”
Founded in 1961, Phillips is the largest distributor of Haas machine tools in the world. The company employs over 400 employees worldwide with operations in the United States, India and China.