TriMas Closes on Acquisition of Omega

Rhea-AI Summary

TriMas has successfully acquired Omega Plastics, enhancing its Packaging group by integrating Omega's custom components for medical and industrial applications. Omega's advanced injection molding and ISO Class 8 cleanroom capabilities will expedite product development and production. TriMas anticipates Omega to generate approximately $18 million in revenue in fiscal 2021, contributing to the Packaging group's total sales of around $534 million. This acquisition aims to bolster TriMas' offerings in medical device contract development manufacturing, propelling future growth opportunities.

Positive

• Acquisition of Omega Plastics enhances TriMas' capabilities in custom components and tooling.
• Omega expected to generate $18 million in revenue in fiscal 2021.
• The deal strengthens TriMas' position in the Pharmaceutical & Nutraceutical sectors.

Negative

• None.

Further Expanding its TriMas Packaging Platform

BLOOMFIELD HILLS, Mich.--(BUSINESS WIRE)-- TriMas (NASDAQ: TRS) today announced that it has closed the acquisition of Omega Plastics (“Omega”), a manufacturer of custom components and tooling for medical, as well as industrial applications, adding to TriMas’ Packaging group.

Omega leverages its core injection molding capabilities, ISO Class 8 clean room and advanced in-house tool making capabilities, to provide its customers a faster product development cycle, from prototype development, testing and validation, to short and medium run production and assembly. Omega’s medical components are currently used in drug delivery, including consumable intravenous applications, as well as diagnostic testing and orthopedic applications.

As of September 30, 2021, TriMas’ Packaging group’s last twelve months sales were approximately $534 million, representing approximately 64% of TriMas’ total sales. TriMas plans to expand Omega’s production capacity, as required in order to benefit its customers’ longer-term needs, while also leveraging Omega’s advanced tool making capabilities to add to TriMas Packaging’s speed-to-market advantage on innovation and new product designs. Omega is expected to generate approximately $18 million in revenue in fiscal year 2021.

“We welcome Omega to TriMas’ family of businesses and look forward to working with the Omega leadership team to unleash future growth opportunities,” said Thomas Amato, TriMas President & CEO. “I’d like to thank all the teams from Omega, TriMas and our respective advisors that supported the work to complete this transaction.”

The addition of Omega further expands TriMas Packaging’s Pharmaceutical & Nutraceutical product offering into supporting medical device contract development manufacturing customers.

Notice Regarding Forward-Looking Statements

Any "forward-looking" statements, within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934, contained herein, including those relating to TriMas’ business, financial condition or future results, involve risks and uncertainties with respect to, including, but not limited to: the severity and duration of the ongoing coronavirus (“COVID-19”) pandemic on our operations, customers and suppliers, as well as related actions taken by governmental authorities and other third parties in response, each of which is uncertain, rapidly changing and difficult to predict; general economic and currency conditions; material and energy costs; risks and uncertainties associated with intangible assets, including goodwill or other intangible asset impairment charges; competitive factors; future trends; our ability to realize our business strategies; our ability to identify attractive acquisition candidates, successfully integrate acquired operations or realize the intended benefits of such acquisitions; information technology and other cyber-related risks; the performance of our subcontractors and suppliers; supply constraints, including the availability and cost of raw materials; market demand; intellectual property factors; litigation; government and regulatory actions, including, without limitation, climate change legislation and other environmental regulations, as well as the impact of tariffs, quotas and surcharges; our leverage; liabilities imposed by our debt instruments; labor disputes; changes to fiscal and tax policies; contingent liabilities relating to acquisition activities; the disruption of operations from catastrophic or extraordinary events, including natural disasters and public health crises; the potential impact of Brexit; our future prospects; and other risks that are detailed in the Company's Annual Report on Form 10-K for the fiscal year ended December 31, 2020. These risks and uncertainties may cause actual results to differ materially from those indicated by the forward-looking statements. All forward-looking statements made herein are based on information currently available, and the Company assumes no obligation to update any forward-looking statements, except as required by law.

About TriMas

TriMas is a global manufacturer and provider of products for customers primarily in the consumer products, aerospace and industrial markets, with approximately 3,400 dedicated employees in 12 countries. We provide customers with a wide range of innovative and quality product solutions through our market-leading businesses. Our TriMas family of businesses has strong brand names in the markets served, and operates under a common set of values and strategic priorities under the TriMas Business Model. TriMas is publicly traded on the NASDAQ under the ticker symbol “TRS,” and is headquartered in Bloomfield Hills, Michigan. For more information, please visit www.trimascorp.com.

View source version on businesswire.com: https://www.businesswire.com/news/home/20211220005603/en/

Sherry Lauderback

VP, Investor Relations & Communications

(248) 631-5506

sherrylauderback@trimascorp.com

Source: TriMas

FAQ

What is the significance of TriMas acquiring Omega Plastics?

The acquisition enhances TriMas' Packaging group and broadens its custom component offerings in the medical and industrial sectors.

What revenue is Omega Plastics expected to generate?

Omega is anticipated to generate approximately $18 million in revenue for fiscal year 2021.

How does the acquisition impact TriMas' sales figures?

TriMas' Packaging group reported approximately $534 million in sales, with the acquisition expected to contribute positively to future growth.

What operational capabilities does Omega Plastics bring to TriMas?

Omega brings advanced injection molding capabilities and an ISO Class 8 cleanroom, enhancing TriMas' product development and production efficiency.