Concentric AB completes acquisition of GKN Sinter Metals de Argentina SA

February 4, 2015

Concentric AB, a leading manufacturer of pumps for diesel engines and hydraulic systems, has announced the acquisition of GKN Sinter Metals de Argentina SA, a supplier of engine pumps in South America.

The move is intended to strengthen Concentric’s presence in the region. GKN Sinter Metals’ production facility in Chivilcoy, Argentina, will provide Concentric with an important foothold in the Mercosur trade union, thereby enabling further penetration of the South American market.

The acquisition gives Concentric direct access to the commercial vehicle market in South America and will enable Concentric to build even closer relationships with its existing global customers. There are also operational synergies as Concentric will be able to in-source a share of its global purchases of sintered components.

The plant will initially continue to focus on the manufacture of engine products but, in the long-term, Concentric would also like to introduce the manufacture of hydraulic products to this facility. For the year ended 31st December 2014, GKN Sinter Metals de Argentina made sales of approximately US $12 million with 166 employees.

The transaction was completed on 30 January, 2015, and has gained all the necessary approvals. The current managing director at GKN Sinter Metals de Argentina will remain with the company and help integrate the business over the coming year. 

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