Indian Group Buys Matrix Metals

The Sanmar Group, an India-based industrial holding company, has acquired Matrix Metals L.L.C. from Jeffries Capital Partners. The value of the purchase was not released.

Matrix Metals operates three steel foundries: Keokuk Steel Castings in Keokuk, IA; Matrix Metals, in Richmond, TX; and Acerlan S.A, in San Juan del Rio, Mexico. The Matrix group supplies ferrous castings to manufacturers of flow-control equipment, locomotives and transit vehicles, military vehicle, construction equipment, track systems, and oilfield equipment.

“Combining Sanmar’s expanding foundry capacity with ours will enable us to meet almost any North American customer’s casting requirements and create new business opportunities across the combined companies,” Roger Courtney, CEO, Matrix, said in a statement.

Sanmar has a $26-million expansion program underway in India, to increase capacity of its Chennai steel foundry from 10,000 to 30,000 metric tons/year, with three new automated pouring lines. Sanmar also produces 1,200 metric tons/year of steel investment castings.

Last year Sanmar bough Eisenwerk Erla GmbH, Eisenwerk Erla GmbH, a German foundry that manufactures steel alloy castings for automotive turbocharger housings.

Matrix also operates Nepco, a castings sourcing service. Nepco has sourced castings from the Sanmar Group in the past.

Reports from India indicate that Sanmar Group corporate director B. Natraj will be the executive vice chairman of Matrix, and relocate to the U.S. to build up the group’s domestic sales and marketing efforts with global casting standards. “We plan to supplement Matrix’s established foundries in Keokuk, Houston,and Mexico with our expanded operations in India to meet those needs,” Natraj stated.