Tipton- based Truflo Air Movements has been acquired by US manufacturer Phillips & Temro Industries in a deal that will see £1 million invested into the company over the next two years.
The Minnesota-based firm - which acquired Truflo for an undisclosed sum - said it planned to invest the capital on new "lean" manufacturing processes and a facilities upgrade.
There will be no job losses at Truflo, which will continue to trade under its current name and retain its existing management team.
The 40- year- old firm produces cooling fans for heavy-duty, off-road engines as well as the construction and power-generation industries. Employing over 100 people, Truflo exports 80 per cent of its products - mainly to the US.
Clients include Case New Holland, Caterpillar, Cummins, Detroit Diesel, JCB, Mitsubishi, and Volvo.
Phillips & Temro supplies products for diesel-engines, including cold start and emissions control devices.
Majority owned by US buyout group Morgenthaler Partners, the company employs more than 550 people in the US and has a turnover of over £28 million.
Truflo is Phillips & Temro's first overseas acquisition.
Chief executive of Phillips & Temro, Gary Edwards, said he was delighted by the deal and that both companies complemented each other.
He said: "Both Truflo and Phillips & Temro have many clients in common. We are very excited about the potential of leveraging foreign markets for both companies.
"We have plans to grow Truflo and extend it's client base abroad.
"The company is already launching several new products including plastic fans. I would like to see Truflow's turnover grow by 25 per cent over the next few years."
Managing director of Truflo-Bob James, said the acquisition and Phillips & Temro's non-invasive management would allow both companies to access opportunities that would not have otherwise been available.
He said: "On a day-to-day level the management of Truflo will change very little - I don't think this will be a micro-managed deal. However, it provides us with greater market potential and will kickstart us on new projects."
