Gränges AB has signed an agreement to acquire the Polish flat rolled aluminium producer Aluminium Konin from Boryszew Group for SEK2.3bn (€219m). The acquisition strengthens Gränges’ product offering and presence in Europe and contributes with strong positions in new attractive niche markets. Aluminium Konin adds new capabilities and capacity to expand Gränges’ offering for future transport solutions, such as electric vehicles, and contributes to a stronger position in growing markets.
Aluminium Konin operates a highly developed and cost competitive integrated rolling mill located in Konin, Poland, with a production capacity of 100,000 tpy. The company offers a broad range of flat rolled aluminium products with good profitability, says Gränges. The product portfolio includes material for automotive heat exchangers and structures, speciality packaging, and general coil and sheet products. Aluminium Konin is primarily serving the European market and complements Gränges’ geographical footprint. Gränges will complete an expansion programme initiated by the seller, of SEK1.1bn over three years, to further strengthen Aluminium Konin’s capabilities and increase the capacity to 140,000 tpy.
The Transaction is subject to regulatory approval by the relevant competition authorities. Closing is expected in the second quarter of 2020.