MONTERREY, Mexico & DUISBURG, Germany--(BUSINESS WIRE)--Following the approval of the respective antitrust authorities, Klöckner & Co has closed the acquisition of National Material of Mexico (“NMM”), a leading independent service center and materials supplier serving automotive and industrial end markets in North America with ten facilities throughout Mexico. The transaction was signed in December 2022 and was made through Klöckner & Co’s U.S. subsidiary, Kloeckner Metals Corporation (“KMC”).
The acquisition of NMM enables KMC to significantly expand its footprint in Mexico and increase its presence where the key automotive and industrial customers are located. The high complementarity of regional presence, customer segments and NMM’s major footprint within the automotive sector make the transaction a perfect fit for both companies.
Guido Kerkhoff, CEO of Klöckner & Co SE: “The closing of this transaction marks an important milestone on our way to implementing our corporate strategy ’Klöckner & Co 2025: Leveraging Strengths’. As a result, we will further strengthen our position as a leading distributor for steel and metal products and as a steel service company in North America in the long term. From now on, our customers will benefit from an even larger product and service portfolio.”
John Ganem, CEO of Kloeckner Metals Corporation, adds: “With National Material of Mexico we have found the ideal complement for the future progress of Kloeckner Metals Corporation. We look forward to working with the strong team at National Material of Mexico and are convinced that we will continue our success story in the North American market as a combined company.”
The combined company has a broad presence in all relevant regions in the USA and Mexico with 56 sites and around 2,600 employees. Going forward, the company aims to expand its market presence, broaden the product offering and further develop existing relationships through cross-selling. In addition, KMC’s customers will have better access to electrical steel to support the growing investment into renewable energy and the rising demand for e-mobility in North America. Moving forward, NMM will be positioned step by step under the Kloeckner Metals brand. The highly experienced management team of NMM with Carl Grobien and Steve Badyna will remain with the company and continue to drive the future growth.
About Klöckner & Co:
Klöckner & Co is one of the largest producer-independent distributors of steel and metal products and one of the leading steel service companies worldwide. Based on its distribution and service network of around 160 sites in 13 countries, Klöckner & Co supplies more than 90,000 customers. Currently, the Group has around 7,700 employees. Klöckner & Co had sales of some €9.4 billion in fiscal year 2022. With the expansion of its portfolio of CO2-reduced materials, services and logistics options under the new Nexigen® umbrella brand, the company is underscoring its role as a pioneer of a sustainable steel industry. At the same time, Klöckner & Co leads the way in the steel industry’s digital transformation and has set itself the target of digitalizing and largely automating its supply and service chain. In this way, the Company aims to develop into the leading one-stop shop for steel, other materials, equipment and processing services in Europe and the Americas.
The shares of Klöckner & Co SE are admitted to trading on the regulated market segment (Regulierter Markt) of the Frankfurt Stock Exchange (Frankfurter Wertpapierbörse) with further post-admission obligations (Prime Standard). Klöckner & Co shares are listed in the SDAX® index of Deutsche Börse.
ISIN: DE000KC01000; WKN: KC0100; Common Code: 025808576.
About Kloeckner Metals Corporation:
Kloeckner Metals Corporation (KMC) is a subsidiary of Klöckner & Co headquartered in Roswell, Georgia. It is one of the largest distributors of steel and metal products and one of the leading steel service companies in North America. The company has around 2,600 employees at 56 branches across the USA and Mexico and generated pro forma sales of USD 5.4 billion in fiscal year 2022. KMC is committed to delivering the latest fabrication and processing technologies and the most innovative supply chain solutions to its customers. The company also provides access to electrical steel, aluminum, and stainless steel, especially serving automotive and industrial end markets in North America.
