D.A. Stuart Co. plans to sell its Los Angeles lubricant plant, apparently to Goldenwest Lubricants Inc., of South El Monte, Calif.
Officials at Warrenville, Illionois-based Stuart said they have reached an agreement in principle but refused to identify the purchaser. A plant employee, however, said those at the facility have been notified that it is being bought by Goldenwest, a manufacturer of metalworking fluids, industrial oils, cleaners, specialty lubricants and greases. Goldenwest officials did not return phone calls seeking comment.
Stuart President and Chief Executive Officer Val Pakis said his company will cooperate with the purchaser to continue serving the West Coast.
“We have no intention of exiting the West Coast market,” he said. “We think this is going to be a good match because we have products in some areas that the other company does not. They will do tolling for us initially and the arrangement may expand later on.”
Stuart said the sale should close by the end of the year. Stuart acquired the plant from Diversay Chemical in 1988.
Separately, Stuart announced that it has reorganized its business. Ferrous and non-ferrous operations have been combined into a single Metals Division that makes rolling oils and other fluids for rolling and can-making industries. The new structure maintains the Metalworking Division, which serves the automotive and aerospace industries.