WESTFORD, Mass.--(BUSINESS WIRE)--Nov. 3, 2014--
Kadant Inc. (NYSE:KAI) announced that it has completed the acquisition
of the screen cylinder product line from J&L Fiber Services, Inc. The
acquisition of J&L Fiber Services’ screen cylinder product line further
extends Kadant’s stock-preparation product offerings of screen cylinder
products applied to recycled fiber lines, thick stock, broke, and other
aggressive applications.
“The addition of J&L Fiber Services’ screen cylinders to our
Stock-Preparation product line advances our strategic initiative to grow
our parts and consumables business,” said Jonathan W. Painter, president
and chief executive officer of Kadant Inc. “Screen cylinders are the
most important consumable for stock preparation systems, and this
bolt-on product line acquisition serves to deepen our product offerings
and we believe will benefit our customers who require rugged and
rebuildable screen cylinders for challenging fiber processing
applications.
“The acquired screen cylinder product line has historical annual sales
of approximately $10 million. Once we have integrated this business into
our Stock-Preparation product line, we expect it to have adjusted EBITDA
margins of approximately 20% in 2015.”
About Kadant
Kadant Inc. is a global supplier of high-value, critical components and
engineered systems used in process industries worldwide. The Company’s
products, technologies, and services play an integral role in enhancing
process efficiency, optimizing energy utilization, and maximizing
productivity in resource-intensive industries. Kadant is based in
Westford, Massachusetts, with revenue of $344 million in 2013 and 1,800
employees in 18 countries worldwide. For more information, visit www.kadant.com.
The following constitutes a “Safe Harbor” statement under the Private
Securities Litigation Reform Act of 1995: This press release contains
forward-looking statements that involve a number of risks and
uncertainties, including forward-looking statements about our expected
future financial performance, our customers, demand for our products,
and technologies. Our actual results may differ materially from these
forward-looking statements as a result of various important factors,
including those set forth under the heading “Risk Factors” in Kadant’s
quarterly report on Form 10-Q for the period ended June 28, 2014. These
include risks and uncertainties relating to our dependence on process
industries; significance of sales and operation of manufacturing
facilities in China; oriented strand board market and levels of
residential construction activity; commodity and component price
increases or shortages; dependence on certain suppliers; international
sales and operations; our acquisition strategy; our internal growth
strategy; fluctuations in currency exchange rates; competition;
soundness of suppliers and customers; our effective tax rate; future
restructurings; soundness of financial institutions; our debt
obligations; restrictions in our credit agreement; reliance on
third-party research; protection of patents and proprietary rights;
failure of our information systems or breaches of data security;
fluctuations in our share price; and anti-takeover provisions. We
undertake no obligation to publicly update any forward-looking
statement, whether as a result of new information, future events, or
otherwise.
Source: Kadant Inc.
Kadant Inc.
Investor contact:
Thomas M. O’Brien, 978-776-2000
or
Media
contact:
Wes Martz, 269-278-1715
