Federal Signal finds buyer for Dayton Progress
Wednesday, April 09, 2008
WEST CARROLLTON — Federal Signal Corp. said it has entered into a "definitive agreement" to sell Dayton Progress Corp. to Connell Limited Partnership.
Dayton Progress will be operated as an independent subsidiary of Connell, Federal Signal said late last week. Dayton Progress, with 2007 sales of $119 million, makes punches, pilots, dies and other metal stamping and forming tools. Through its subsidiary, PCS Co., it also sells components for plastic injection molds.
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Dayton Progress has about 850 employees in the U.S., Canada, Japan and elsewhere. Locally, the company has about 600 employees at its Progress Drive facility.
Federal Signal expects to receive about $60 million and expects to see a loss on the transaction. Subject to closing conditions, the sale will be complete in the year's second quarter, the company said.
"The sale of Dayton Progress completes our previously announced plan to exit the industrial tooling segment," said James Goodwin, Federal Signal's interim president and chief executive. "Dayton Progress and its many valuable employees have served our corporation and its shareholders admirably for many years."
Connell described itself in a statement as an "acquisition-minded operating company" focused on the industrial manufacturing sector,
