Dec 19, 2019
Martinrea to buy unit from Mexico-based Metalsa in US$19.5M deal
The Canadian Press
Canada can't rely on a cheap loonie to be competitive: Martinrea exec
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TORONTO -- Martinrea International Inc. has signed a US$19.5-million deal with Metalsa S.A. de C.V. to buy a unit of the Mexican company that makes structural components for passenger cars.
Under the agreement, the Canadian auto parts company will acquire six plants around the world with approximately 2,000 employees.
The deal includes a large facility in Bergneustadt, Germany, as well as a plant in San Luis Potosi, Mexico, a facility in Tuscaloosa, Ala., and two in China.
Martinrea will also acquire a facility in South Africa under the transaction.
The company says the largest customers of the business being acquired are Daimler, BMW and Volkswagen.
The assets to be acquired are expected to generate about $400 million in sales in 2020, Martinrea says.
