ESCO Corporation, an Portland, OR-based manufacturer of castings for industrial products used in the resources, infrastructure, power generation, and transportation markets, has purchased two foundries that will pace its expansion into Australia and New Zealand.
Austcast Pty Ltd, located in Brisbane, Australia, and its Dunedin, New Zealand-based subsidiary Newlcast, were acquired in efforts to "strengthen ESCO's product offerings and expansion efforts" by providing local foundry capacity, according to a release.
Austcast manufactures high-integrity steel and specialized alloy irons for the mining, rail, and general engineering industries. As part of ESCO, Austcast will continue to manufacture rail products and will "adjust operations in 2011 to include ESCO's industry-leading ground engaging tools and other mining and construction wear parts," according to the announcement marking the acquisition.
The foundry in Brisbane includes molding, melting and heat treating capabilities, as well as a pattern shop and non-destructive testing. Newlcast supplies ferrous castings, a variety of steels, and alloy irons. Both sites employ nearly 100 workers.
The addition of these foundries is another step in ESCO's efforts to permeate the markets just this year, the company explains. In July, ESCO acquired Swift Group, a designer and producer of mining, infrastructure, and agricultural products with locations in Brisbane, Mackay, and Kingaroy. In October, ESCO selected Mine & Quarry Service Company Pty as its distributor in the region.
"Our acquisition of Austcast is a key development in ESCO's plan to establish a national sales, supply chain, and manufacturing network in Australia, and will further our efforts to deliver quality, value, and speed to our customers on a global scale," stated Cal Collins, president of ESCO engineered products.
ESCO Corporation Adds Foundries In Australia, New Zealand
Supports company growth, local foundry capacity