Ameron Buys Coatings Business for $45 Million

Pasadena-based Ameron International Corp. has acquired Croda International’s Croda Coatings business for $45 million in cash. The acquisition includes manufacturing plants and distribution centers in Britain, Australia and New Zealand. Ameron said Croda Coatings had 1997 sales of $83 million and income before interest, taxes and unusual items of $6 million. Ameron’s coatings operations had fiscal 1997 sales of $191 million. Ameron, which manufactures coatings and pipe systems, had earnings of $4.73 per share on sales of $534 million for the fiscal year. The purchase of Britain-based Croda represents a shift for Ameron from its concrete and steel pipe-making business to high-tech coatings, which analysts have identified as a growth industry. Ameron shares rose 81 cents to close at $55.94 on the NYSE.