Siemens to Acquire Morgan Construction Company
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LINZ, Austria, Jan. 2 - The Siemens Division Industrial Solutions (IS) strengthens its position in metals technologies with the acquisition of Morgan Construction Co., Worcester, MA, U.S.A., a designer and producer of high-quality rolling-mill products and services for the metals industry worldwide. In 2006, Morgan reported sales of 180 Mio USD and employed around 1,100 people in the U.S.A., China, India, the United Kingdom, and in Brazil. Siemens intends to take over 100% of the Morgan Construction shares. All parties have agreed not to disclose the purchase price. The transaction is conditional upon the approval of the relevant authorities.
Morgan Construction Company is acknowledged as a leader in rolling mill technology. Founded in 1888, Morgan Construction Company is worldwide supplier of wire rod rolling-mill equipment for the long-products industry today. Morgan has designed and installed more than 450 rod, bar, and billet mills in over 40 countries worldwide, setting benchmarks as a designer, manufacturer and service provider of high-speed rod, bar, combination mills and handling equipment for the steel and non-ferrous industries. The technology includes the patented Reducing/Sizing Mill, which enables products to be rolled faster, with closer tolerances and at lower costs.
"With the acquisition of Morgan Construction we combine its competence in the sector of rolling mill equipment with our know-how in industrial automation," said Dr. Richard Pfeiffer, CEO Siemens VAI Metal Technologies. "This step underscores our position as a trendsetter in rolling and processing solutions. We will improve our capabilities to offer integrated solutions by increasing the degree of standardization."
Philip R. Morgan, President and CEO of Morgan, said: "The fit between our two companies is remarkably good. Morgan Construction is the acknowledged leader in the design and manufacture of wire rod mills and Siemens Metals Technologies has a very strong bar mill group. There are true synergies between the two companies, which strengthen the position of both in the flat product rolling mill area." With Siemens, Morgan has access to the Siemens' resources worldwide, which improves Morgan's global market presence. "This will assure long-term stability for our manufacturing facilities and employees," Morgan said.
Morgan Construction will be a group company of Siemens Industrial Solutions and Services under the responsibility of the IS Business Unit VAI Metals Technologies, headquartered in Linz/Austria.
Siemens VAI Metals Technologies (MT) is one of the world's leading engineering and plant-building companies for the iron and steel industry as well as for the flat-rolling sector of the aluminum industry and for open-cast mining. MT, which was created from the integration of Voest-Alpine Industrieanlagenbau, Linz/Austria, plus the electrical engineering product business and automation solutions of Siemens, provides a comprehensive range of supplies and services for all related technological processes and integrated automation solutions for the entire life-cycle of metallurgical plants.
For more information, please visit http://www.morganco.com/html/home_page/home.html
FCMN Contact: esra.ozer@siemens.com
Source: Siemens Division Industrial Solutions
CONTACT: Press Office Industrial Solutions, Wieland Simon,
+49-9131-7-46169; Fax -25074, wieland.simon@siemens.com
Web site: http://www.usa.siemens.com/
http://www.morganco.com/html/home_page/home.html
