SPX Corporation (www.spx.com) today announced that it has completed the sale of its Contech business unit to Marathon Automotive Group, LLC, a company formed by Marathon Asset Management, LLC, for approximately $146 million in cash. Contech, based in Portage, Michigan, has annual revenues of approximately $300 million.
Chris Kearney, President and CEO of SPX Corporation said, "The sale of Contech is a natural progression in our strategy of focusing our resources on our flow technology, test and measurement and thermal equipment and services businesses."
Contech was reported as a discontinued operation at the end of the third quarter of 2006. On March 7, 2007, SPX announced that it had entered a definitive agreement to sell Contech. SPX expects to use the majority of the proceeds to repurchase company shares.
Contech is a producer of highly engineered, geometrically complex, light-weight cast component solutions for the automotive and light truck markets, and offers a wide variety of die cast process technologies in the industry and produces a full range of "thick wall" and "thin wall" cast components. Contech also manufactures steel forged automotive components and steel tube fabrications.