Standard Motor Products Inc. (SMP - Analyst Report) announced its recent acquisition of the Engine Controls Business of BLD Products Ltd., a subsidiary of Qualitor Inc., for almost $27 million.
Based in Southfield, Michigan, Qualitor Inc. is a supplier of automotive and heavy duty replacement parts in the U.S. with seven manufacturing facilities located in four states. Apart from BLD Products, Qualitor’s three other major subsidiaries are the Florida-based Pylon, Michigan-based Sloan and Ohio-based International Brake Industries.
BLD Products manufactures high quality actuators, valves and sensors used in light vehicle engine and transmission control. The major product categories include PCV Valves, Air Control Valves, Fuel Pressure Regulators, Temperature Sensors, Carburetor and Distributor Controls.
The products are sold primarily in the global independent automotive aftermarket as well as in the automotive original equipment market. BLD Products own a subsidiary in the name of Novo Products Inc., which is considered the world's largest manufacturer of PCV valves.
With the acquisition of the Engine Controls business, Standard Motor expects to strengthen its Engine Management product line by utilizing BLD Products’ wide product portfolio and broad customer base. BLD Products and Novo together supply a variety of parts to General Motors Company ((GM - Analyst Report)), Ford Motor Co. ((F - Analyst Report)), Chrysler and their respective service organizations.
Alongside, they have long and successful business partnerships with almost all of the major North American aftermarket engine management and filter providers, including Standard Motor Products, Wells, Honeywell and Champion Laboratories.
However, the company has planned to relocate the plant to its facilities in Reynosa, Mexico and Independence, Kansas within a year.