Kadant Johnson Acquires Steam Systems, Inc. Service Business
THREE RIVERS, Mich., November 1, 2017 - Kadant Johnson LLC, a subsidiary of Kadant Inc. (NYSE: KAI), completed the acquisition of certain assets of Ohio-based Steam Systems, Inc., a provider of installation, repair, and technical services to the U.S. paper industry. Services previously offered by Steam Systems are now provided through the Kadant Johnson Services division of Kadant Johnson LLC.
“The expansion of our technical services group through the acquisition of the Steam Systems service business will broaden our service offerings to our customers in the pulp and paper industry,” said Greg Wedel, president of Kadant Johnson. “We believe the combination of this highly-reputable service business and our product and process systems businesses will benefit our customers by providing them a single source for reliable drying equipment, dryer performance, and dryer section services.”
Kadant Johnson LLC, based in Three Rivers, Michigan, is a leading provider of fluid handling products, systems, and services to process industries. Kadant Inc. is a global supplier of high-value, critical components and engineered systems used in process industries worldwide. The Company’s products, technologies, and services play an integral role in enhancing process efficiency, optimizing energy utilization, and maximizing productivity in resource-intensive industries. Kadant is based in Westford, Massachusetts, with approximately 2,400 employees in 20 countries worldwide. For more information, visit www.kadant.com.
Safe Harbor Statement
The following constitutes a “Safe Harbor” statement under the Private Securities Litigation Reform Act of 1995: This press release contains forward-looking statements that involve a number of risks and uncertainties, including forward-looking statements about the operating performance of Steam Systems, Inc., the benefits of the transaction, and the expected future business performance of the acquired company. Important factors could cause actual results to differ materially from those indicated by such statements, including: our ability to successfully integrate the acquired business and realize anticipated benefits from the transaction, unanticipated disruptions to the business, general and regional economic conditions, and the future performance of the acquired business and the forest products industry as well as other factors, including those set forth under the heading "Risk Factors" in Kadant’s annual report on Form 10-K for the year ended December 31, 2016 and subsequent filings with the Securities and Exchange Commission. These include risks and uncertainties relating to adverse changes in global and local economic conditions; the variability and difficulty in accurately predicting revenues from large capital equipment and systems projects; the variability and uncertainties in sales of capital equipment in China; currency fluctuations; our customers’ ability to obtain financing for capital equipment projects; changes in government regulations and policies; oriented strand board market and levels of residential construction activity; development and use of digital media; price increases or shortages of raw materials; dependence on certain suppliers; international sales and operations; economic conditions and regulatory changes caused by the United Kingdom’s likely exit from the European Union; disruption in production; our acquisition strategy; our internal growth strategy; competition; soundness of suppliers and customers; our effective tax rate; future restructurings; soundness of financial institutions; our debt obligations; restrictions in our credit agreement; loss of key personnel; reliance on third-party research; protection of patents and proprietary rights; failure of our information systems or breaches of data security; fluctuations in our share price; and anti-takeover provisions. We undertake no obligation to publicly update any forward-looking statement, whether as a result of new information, future events, or otherwise.