Cambridge-based Shred-Tech acquires international competitor

Shred-Tech

CAMBRIDGE — A Cambridge company that designs and manufactures shredding systems has acquired one of its chief international competitors.

Shred-Tech, headquartered on Pinebush Road, has acquired AXO Shredders, with operations in the United Kingdom, the United States and Thailand.

“It ticked a lot of boxes when we started looking,” said Shred-Tech’s president and chief executive officer, Rob Glass.

Along with the Cambridge facility, Shred-Tech also has an operation in North Carolina and distributors in the United Kingdom, Australia and Japan.

The deal will add about 35 to 40 employees to the 130 or so currently employed by Shred-Tech. AXO’s small facility in Philadelphia won’t be retained.

Established in 1978, Shred-Tech produces a wide range of mobile and stationary shredding and recycling systems, including document shredding trucks and large industrial units designed to handle materials such as tires, metals, electronic or medical waste.

AXO was established in 2000 and focuses primarily on mobile shredding trucks, Glass said.

“Being a competitor, it does amalgamate the market somewhat for us in the U.K.,” he said. AXO was “a fierce competitor” in the United Kingdom and Europe, and the acquisition also provides Shred-Tech with some needed manufacturing capacity in that part of the world.

And its presence in Thailand will help open up markets in Asia and Australasia for Shred-Tech, a region the company sees as a key area for growth.

“It gives us a nice base of operations to be able to expand from,” said Glass.

Biomass shredders — which can be used to prepare waste plant and crop material for use in biomass power plants — are one “growing application” in that region.

Shred-Tech will also take advantage of technology developed by AXO in the U.S. in the form of an electric-driven truck-mounted shredding system. Shred-Tech’s systems are primarily hydraulic-driven, Glass said.

Shred-Tech’s North American service infrastructure will be available to AXO customers.

“The entire AXO staff and I are excited to now be part of the Shred-Tech team, and to be able to draw on greater technical resources to develop new products to better service customers in Asia and other emerging markets,” AXO president Greg Corrigan said in a news release. Corrigan will be staying on to head up combined operations in Asia.

Financial terms of the deal aren’t being disclosed. Glass said Shred-Tech and AXO have combined annual revenues of approximately $75 to $80 million.