SOUTHFIELD, Mich.--(BUSINESS WIRE)--Grede Holdings LLC has reached a definitive agreement to acquire two foundries in Mexico from Grupo Proeza. Grede will acquire the NovoCast and Teknik foundries, both located near Monterrey, Mexico, for an undisclosed sum. The transaction is pending Mexican regulatory approval and is expected to close by the end of the first quarter.
“Grede looks forward to adding the NovoCast and Teknik businesses to its ferrous casting and machining operations,” said Doug Grimm, chairman, president & CEO of Grede Holdings LLC. “We share complimentary product lines and equipment, which will add to our existing manufacturing capacity in support of our customer growth projections in this expanding economy.”
About Grede Holdings LLC
Grede Holdings LLC was formed in 2010 through the combination of assets of the former Grede Foundries, Inc., Blackhawk Foundry (USA), and Citation Corporation. With estimated annual revenues in excess of $750 million, the Grede Holdings LLC legacy dates back to 1920 when William J. Grede founded Grede Foundries, Inc. with an iron foundry in Wauwatosa, Wis. Privately-held with headquarters in Southfield, Mich., the company specializes in high quality ductile, gray and specialty iron castings, including lost foam and high silicon molybdenum applications. Grede Holdings LLC has 3,700 employees and operates 13 foundries and three machining operations in the United States serving the transportation and industrial markets globally.