Killlingly-based Rogers Corp., which makes circuit materials, cushioning and sealing, lighting systems and other products, said today it will pay $7.4 million for a Canadian silicones business that could spur its growth in aerospace, mass transit and other markets.
Rogers said it has signed an agreement to acquire assets of the silicones business of MTI Global Inc. in Toronto. Sales related to the assets were about $21 million in 2008, Rogers said.
The assets include product lines, technology and manufacturing equipment at MTI Global plants in Bremen, Germany, and Richmond, Va.
The company will lay off workers at the Richmond plant and the building will be leased or sold, said William J. Tryon, manager of investor and public relations. He said he did not have details on how many workers will be affected.
Rogers said it will integrate the business into its silicones operating unit in its high performance foams division in Carol Stream, Ill. It plans to consolidate operations into the Carol Stream and Bremen sites over the year, Rogers said.
The transaction is expected to close in the second quarter.
At 11 a.m., Rogers traded at $19.39, down 66 cents, or 3.3 percent. (AP)
