Metal Finishing Firms Forge Partnership

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Galaxy Associates on April 10 acquired Challenge Inc., an Indianapolis-based manufacturer of metal finishing and metalworking chemicals. Terms of the transaction were not disclosed.

All order entry and customer service functions now at Challenge will transition to Galaxy Associates Cincinnati headquarters over the next several months. Galaxy and Challenges sales personnel will represent all products and services of both companies.

This adds some people, plus some other formulations from Challenge that well share between Galaxy and Challenge, Galaxy vice president Don Miller told Lube Report. And then well share Galaxys formulations and technologies with the Challenge personnel too, so it fits very well.

The acquisition of Challenge Inc. ideally positions Galaxy Associates for future growth in the chemical specialty and metal finishing markets, said Galaxy Associates president Bill Oeters. The enhanced product development capabilities, testing laboratory and the additional manufacturing capabilities will significantly expand our reach and service capabilities to metal finishing customers.

Miller said the majority of Galaxys business is metal finishing. Metalworking fluids is probably second to that and getting bigger, he said. Galaxy Associates also specializes in cleaners, sealers and specialty chemistries for its major divisions, including transportation, metalworking, metal finishing, automotive, and pulp and paper.

He said Galaxy is doing business throughout most of the world now. We started an entity in China just over the last year, and were into Canada, western Europe, China, India a little bit, and Mexico, Miller noted.

Home construction and heavy equipment such as those by Caterpillar, John Deere and Bobcat are among the industries driving demand for metal finishing products. Were really not that tied to automotive, he added.

Challenges customers initially consisted of companies involved in process paint stripping. Its customer base has expanded to include companies that pre-treat ferrous and non-ferrous substrates. David Crosley, president and founder of the 38-year-old Challenge, will remain as vice president of Galaxy.

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