FERNDALE - An absorbent product manufacturer was acquired by a European firm, a move that could mean more production at the Ferndale facility.
Absorption Corp. was acquired by J. Rettenmaier & Sohne Group of Rosenburg, Germany, it was announced Thursday, March 14. Financial terms of the sale were not disclosed.
The new owner of Absorption Corp. is a global manufacturer of high-quality organic fibers for a variety of products, including Cats Best cat litter, a brand that does very well in Europe, said Ted Mischaikov, CEO of Absorption. That aligns well with Absorption, which makes a variety of products, including in animal litter, bedding and oil spill cleanup at its facilities in Ferndale and Jesup, Ga.
"One of the best aspects in this sale is that (Absorption) will remain intact as a company, including its facilities and people," Mischaikov said. "We could have easily been broken up and sold as parts."
Mischaikov said J. Rettenmaier & Sohne, or JRS, has a significant market share in Europe for its cat litter products and wants to expand its reach in the U.S. This acquisition also gives Absorption a chance to strengthen its market share in Europe. The end result is that more products will be coming first out of the Jesup facility and then later out of Ferndale, Mischaikov said.
"The combination allows both companies to cost-effectively expand their geographic footprints, product offerings and distribution channels," he said.
Absorption Corp. has 64 employees at the Ferndale facility, which is near the Grandview Industrial Park. Absorption had been a portfolio company of the private equity firm Kinderhook Industries of New York City since May 2010. Details about the company can be found at absorptioncorp.com.