Irvine-based Chen-Tech Industries Inc., a maker of jet engine parts, is being acquired for $59 million.
Cudahy, Wis.-based Ladish Co. is buying Chen-Tech for cash and stock. The deal is expected to close this quarter.
Privately held Chen-Tech, with yearly sales of $50 million forecasted this year, specializes in nickel and titanium parts for smaller jet engines.
Ladish said it sees the company adding to its business for larger engines. The two companies already share some of the same customers.
Ladish has a market value of $360 million. Its shares were up more than 3% at close of trading on the news.
The deal is expected to save money and will have a positive effect on earnings this year, Ladish’s Chief Executive Kerry Woody said in a release.
Ladish had sales of $425 million in 2007. It has locations in Wisconsin, Connecticut, Ohio and Poland.
