Sapa completes agreement with Indalex
Today Sapa, Sweden, completed its purchase of U.S. aluminum extrusion company, Indalex, in accordance with the terms of the asset purchase agreement entered into between them on June 16, 2009, according to a July 31 release.
As a part of the purchase, Sapa acquired Indalex’s 11 active plants, six in the U.S. and five in Canada, with two cast houses and 29 presses and a total capacity of about 315,000 tons per year. Indalex’s sales in 2008 were about 200,000 tons, representing 900 MUSD. Indalex has 1,400 employees. Through this acquisition, Sapa strengthens its geographical coverage and logistical efficiencies to better serve North America, including an expansion into Canada.
The acquisition represents an underlying enterprise value of approximately 95 MUSD, according to the release.
“We have a strong market position and it is vital for Sapa to uphold good customer relations, especially in a time like this," said Bjørn Wiggen, president and CEO of Sapa, in the release. "We are able to offer our customers a range of products and services that is truly unique. Sapa will have the ability to further develop new end use applications in North America, benefiting the customers and the extrusion industry as a whole. Indalex has deep production competence and well-maintained assets. It is a well-run company. Combining Sapa and Indalex provides a wider product range and better geographic coverage.”