Hercules agrees to sell custom mixing business
Larry Seawell, senior vice president of the Hercules Tire & Rubber Co., has announced that Hercules has signed a letter of intent to sell its custom mixed rubber business segment to Biltrite Industries.
The sale will include the manufacturing plant and equipment located at Hercules headquarters, 1300 Morrical Blvd. in Findlay, Ohio. The Hercules corporate offices will remain at the Morrical Blvd. facility under lease from Biltrite for up to three years.
Hercules previously sold its tread rubber business segment to Cooper Tire & Rubber Co. in 2001. At that time, Hercules retained 21 employees in custom mixing. Since 2001, employment has increased to 48 and sales have increased by 350%.
Biltrite of Toronto, Canada, is expected to offer continued employment opportunities to the majority of the 48 employees that comprise the salary and hourly workforce, according to Hercules.
"The ability to come to Northwest Ohio to a non-union, ISO 9001 facility was a key part of the decision to locate in Findlay," says the company. "The transaction is expected to close in late April and provide a smooth transition to our valued customers."
Hercules' worldwide tire operations will not be affected by the sale of the custom mixed rubber division. The company says it will re-invest sale proceeds into its tire operations.
Hercules sells tires in 85 different countries and operates warehouses across North America and in China.