WireCo WorldGroup Inc. (WireCo), a leading producer and marketer of wire rope, electromechanical cable and a major producer of wire products, announced yesterday that it has completed the acquisition of Drumet Liny i Druty Sp.z o.o. (Drumet), based in Wloclawek, Poland. At the time of press, no terms were disclosed.
The acquisition of Drumet, a leading manufacturer of wire rope, steel wire, and steel wire band in Eastern Europe, is part of WireCo’s ongoing global strategy to manufacture and distribute products to customers around the globe. The acquisition of Drumet will give WireCo access to new markets in Europe and provide increased wire capacity to support its manufacturing operations.
Drumet has significant capacity to produce both steel wire and steel wire rope. These enhanced capabilities in Europe will enable WireCo to enhance and expand the scope of its operation in the entire European theatre. WireCo will now have unmatched wire and rope production capabilities in North America, Asia and Europe.
WireCo CEO Ira Glazer commented, “We invested in this acquisition for two reasons: it enhances our global reach and it creates excellent synergies among our operations. Drumet provides us access into new markets and is a source of high quality, low cost wire production to support our operations.”
Other recent WireCo acquisitions include Oliveira in 2010, Phillystran in 2009, CASAR in 2007 and Aceros Camesa in 2005. In addition, WireCo entered into a joint venture with Wuhan Iron and Steel to build the world’s most modern wire rope manufacturing facility in China, which started production in 2009.
Glazer believes all WireCo employees will benefit from the acquisition, adding “We have a track record of investing in what we buy. We will incorporate Drumet into our global operations, which will create opportunities for all our employees to grow, including our newest employees in Poland.”
WireCo is owned by investment funds managed by Paine and Partners, LLC, a private equity firm with offices in New York, Chicago and San Francisco.