- Revstone reorganization proceeds
- Court approval sought, not required
- Shiloh has wider auto parts portfolio
Reportedly, Revstone Industries LLC has received a $54.4-million offer for its Contech Castings LLC operations. Contech Castings operates four plants, in Alma, MI, Clarkson, TN, and Auburn and Pierceton, IN. Operations were scaled back at the two Indiana plants in May, eliminating jobs for more than 200 workers.
Revstone Industries is a holding company filed for creditor protection in December 2012, and is proceeding with own reorganization. Recently, the federal bankruptcy report granted Revstone a two-month extension of its exclusive right to implement a reorganization plan, above the objections of creditors.
The offer from Shiloh Industries Inc. was made outside of the bankruptcy proceeding, but the company reportedly has sought the bankruptcy court’s approval of the sale nevertheless. The offer will be presented as an opening bid. If another bidder tops Shiloh’s offer it would be in line to receive a break-up fee.
Shiloh Industries is an automotive parts manufacturer, too. Its operations produce body-in-white structures, powertrain components, seating systems, acoustic products, emissions system products, and specialty assemblies.
One plant, Shiloh Die Cast Midwest LLC in Pleasant Prairie, WI, produces high-pressure diecastings for axle housings, gear cases, valve covers, and shock towers. Other plants conduct precision blanking, laser and mash-seam welding, and many other design and assembly processes.
The Revstone organization was assembled from a series of automotive suppliers, beginning in 2008. It produces aluminum shell castings, aluminum diecastings, and aluminum forgings (an operation recently sold at auction), as well as precision machined parts and tooling dies. Now fending off creditors, Revstone reportedly hopes to sell Contech and other non-bankrupt assets as part of its reorganization.