Nemak becomes largest global producer of engine castings.Nemak, Monterrey, Mexico, completed the acquisition of two casting companies, Norsk Hydro Norsk Hydro ASA (OSE: NHY, NYSE: NHY) is a Norwegian aluminium and renewable energy company, headquartered in Oslo. Hydro is the fourth largest integrated aluminium company worldwide. It has operations in some 40 countries around the world and is active on all continents. ASA Asa (ā`sə), in the Bible, king of Judah, son and successor of Abijah. He was a good king, zealous in his extirpation of idols. When Baasha of Israel took Ramah (a few miles N of Jerusalem), Asa bought the help of Benhadad of Damascus and , Oslo, Norway, and Teksid Aluminum, Turin, Italy, making it the largest supplier of cast cylinder heads and blocks worldwide. Alfa, Nemak's parent company, announced completion of the acquisition of six production facilities belonging to Teksid, located in Brazil, Argentina, the U.S. and Mexico, shortly after finalizing the deal with Norsk Hydro, which brought in production facilities in Germany, Austria, Hungary and Sweden. According to according to prep. 1. As stated or indicated by; on the authority of: according to historians. 2. In keeping with: according to instructions. 3. Nemak Mexico CEO (1) (Chief Executive Officer) The highest individual in command of an organization. Typically the president of the company, the CEO reports to the Chairman of the Board. Armando Tamez, the acqusitions will roughly double the company's global production of blocks and heads, which now stand at 2.6 and 15.7 million per year. For the Teksid acquisition, the consideration paid by Nemak amounted to $414 million, plus a synthetic equity of 5.64%. "The transaction is a step forward in reinforcing Nemak's leadership in the industry," said Dionisio Garza, ALFA's CEO and chairman of the board. "We aim to expand our customer base and diversify geographically. In addition, we will be adding the HPDC HPDC High Performance Distributed Computing HPDC High Pressure Die Casting (metal casting technique) HPDC High Performance Data Conditioning HPDC Hp Development Company process to our already strong portfolio of leading technologies." Nemak will take possession of Norsk Hydro's assets following approval by the European Commission European Commission, branch of the governing body of the European Union (EU) invested with executive and some legislative powers. Located in Brussels, Belgium, it was founded in 1967 when the three treaty organizations comprising what was then the European Community . The transaction represents an enterprise value for Hydro's castings business of approximately $596.2 million and will result in a gain of approximately $145 million under generally accepted U.S. accounting principles. Hydro's European operations have a total of 2,200 employees. Two of Teksid's remaining plants, in Poland and China, were included in the original negotiations with Nemak and are currently pending transferral. |
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