NewHold Enterprises Announces Sale of F&S Tool to Berry Global

Rhea-AI Summary

NewHold Enterprises announces the sale of F&S Tool, a leading North American designer and manufacturer of precision injection molding tools, to Berry Global Group, Inc. The sale was completed on April 05, 2024. F&S Tool operates a 90,000 square foot facility in Erie, Pennsylvania, with 11 issued/pending patents and 105 employees. The acquisition is seen as a strategic move to enhance Berry's global tooling capability.

Positive

• The sale of F&S Tool to Berry Global Group, Inc. is a strategic move to enhance Berry's global tooling capability.
• F&S Tool, a market leader in precision injection molding tools, has proprietary technology in high-end growth markets.
• The acquisition includes a 90,000 square foot facility in Erie, Pennsylvania, with 11 issued/pending patents and 105 employees.
• NewHold Enterprises invested in F&S Tool in 2020, and the company has achieved industry-leading cycle-time improvements through proprietary cooling techniques.

Negative

• None.

Insights

Financial Analyst

Examining the acquisition of F&S Tool by Berry Global Group from a financial standpoint, we should consider the synergies that a strategic acquisition like this could create. Berry's expansion into the precision injection molding tools domain suggests potential cost reductions and revenue enhancement by integrating F&S Tool's proprietary technologies and intellectual property. Investors should monitor how this acquisition affects Berry's financial metrics in the following quarters, particularly regarding earnings accretion, return on investment and impact on debt levels.

Market Research Analyst

From a market perspective, acquiring a company like F&S Tool with a robust patent portfolio and a foothold in high-end growth markets may give Berry Global Group a competitive advantage. The deal could pave the way for Berry to diversify its product offerings and reinforce its presence in the precision tooling industry. Stakeholders should evaluate how this deal positions Berry in comparison to its competitors and whether it enables the company to tap into new market segments or expand its customer base.

Industrial Operations Expert

Operational efficiencies are key in manufacturing. F&S Tool's industry-leading cycle-time improvements through proprietary cooling techniques could be a game-changer for Berry Global's manufacturing operations. Investors might want to look at how the integration of these processes can improve Berry's operational efficiencies and potentially lead to higher production volumes and reduced waste, translating into better margins and profitability.

NEW YORK, April 17, 2024 /PRNewswire/ -- NewHold Enterprises, an operationally focused investment firm, is pleased to announce the sale of F&S Tool, a leading North American designer and manufacturer of precision injection molding tools, to Berry Global Group, Inc. (NYSE: BERY). F&S Tool operates a 90,000 square foot facility located in Erie, Pennsylvania, with 11 issued/pending patents and 105 employees focused on proprietary technologies to serve a large and diverse addressable market. The sale was completed on April 05, 2024. 

NewHold Enterprises announces the sale of F&S Tool to Berry Global Group, Inc.

"F&S Tool is a leader in precision injection molding tools, with best-in-class manufacturing and sampling and unique technology.  We believe the company's unique innovations and intellectual property is a fantastic addition to Berry's global tooling capability," said Kevin Charlton, Co-Chairman at NewHold and Vice Chairman of F&S Tool. "It has been a pleasure to partner with JD and Mike Faulkner, our CEO Bryan Mikula, and the entire team at F&S Tool for the past few years and be a part of their history. We wish them continued success under Berry's leadership."

F&S Tool was founded in 1983, and NewHold invested in 2020.  The company has grown to be a market leader with proprietary technology in high-end growth markets, achieving industry leading cycle-time improvements through proprietary cooling techniques and best-in-class manufacturing/sampling.

About NewHold Enterprises
NewHold is an operationally focused investment firm that partners with management teams of lower middle market industrial and business services firms with the goal of transforming them into middle market sector leaders. NewHold retains the flexibility to retain ownership in the companies as they grow, thereby encouraging a long-term focus on company culture and sustainable growth. Learn more at www.newhold.com.

About F&S Tool
F&S Tool was founded in 1983 and operates a 90,000 square foot facility located on the shores of Lake Erie in Erie, Pennsylvania, USA. F&S Tool specializes in high output, high efficiency hot runner injection molding applications typically with 2-6 million cycles expected per year. In addition to injection molding, F&S Tool is an expert in high volume compression molding applications with similar throughputs. Learn more at www.fstoolinc.com.

NewHold Enterprises
Amanda Tarplin
Tarplin Consulting
908-872-4804
amanda@tarplinconsulting.com

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SOURCE NewHold Enterprises, LLC

FAQ

When was the sale of F&S Tool to Berry Global Group, Inc. completed?

The sale of F&S Tool to Berry Global Group, Inc. was completed on April 05, 2024.

Where is F&S Tool's facility located?

F&S Tool's facility is located in Erie, Pennsylvania.

How many patents does F&S Tool have?

F&S Tool has 11 issued/pending patents.

How many employees does F&S Tool have?

F&S Tool has 105 employees.

Who announced the sale of F&S Tool to Berry Global Group, Inc.?

NewHold Enterprises announced the sale of F&S Tool to Berry Global Group, Inc.