Morgan Pays $147 Million for Two Carpenter Units

Morgan Crucible is buying the Certech and Carpenter Advanced Ceramics businesses from Carpenter Technology Corp. for $147 million, in cash, the British firm reports. Morgan is a worldwide manufacturer of specialty performance materials and technical and insulating ceramics and carbon, and it is the parent of Morgan Molten Metal Systems — designer and supplier of crucibles, furnaces, and other foundry consumables. Carpenter Technology, Reading, PA, produces stainless and specialty steels, titanium and superalloys, and a variety of engineered products. The two divisions being sold are described as “technical ceramics businesses.” Certech has seven plants in the U.S., U.K., and Mexico. It manufactures a range of complex injection molded ceramic components used by investment casters, for example in production of aerospace or industrial-gas turbine blades and vanes. It also manufactures other porous ceramics and foundry supplies. Carpenter Advanced Ceramics has a plant in the U.S. and another in Australia. It manufactures engineered ceramics (Morgan’s Technical Ceramics operations produce similar products), including high-purity alumina and zirconia structural ceramic components. Mark Robertshaw, Morgan Crucible CEO stated that the acquisitions are “in-line with our strategic priority of focusing on higher growth, higher margin, less economically-cyclical markets. They also enhance our high value-added offering to customers and reinforce the standing of our Technical Ceramics division as a global market leader in its chosen fields.” Carpenter chairman, president, and CEO Anne Stevens referred to the two units as “non-core” businesses, explaining: “Although our ceramics businesses are strong, they are not a priority for long-term growth at Carpenter, and add complexity to our operations. We believe Morgan Crucible represents the best strategic fit for these businesses, which should continue to prosper under their ownership.”