Sandusky International Holding Corp., a privately owned centrifugal casting foundry and manufacturer of suction roll shells reports it is in negotiations to be acquired by MetalTek International Inc. Sandusky president and CEO told workers at the Ohio-based company that the goal is to complete the sale before the end of this year.
The value and terms of the transaction are not known. “We are excited to be discussing bringing together these companies to create the most powerful force in centrifugal casting throughout the world,” stated MetalTek president and CEO Robert Smickley.
MetalTek is a foundry holding company based in Waukesha, WI. Its operations include five foundries in the U.S. — Bearium Metals and Southern Centrifugal, both in Chattanooga, TN; Carondelet Corp., in Peveley, MO; Wisconsin Centrifugal, in Waukesha, WI; and Wisconsin Investcast, in Watertown, WI. MetalTek also owns Meighs Castings Ltd., a foundry in Stoke-on-Trent, England; and Advanced Energy Components, an extension of Wisconsin Centrifugal that manufactures high-integrity parts for energy and defense propulsion applications, like turbine engine, flight turbine, and nuclear power generation.
Sandusky International two foundries, Sandusky, OH, and Glenrothes, Scotland, that produce centrifugal castings in bronze, stainless steel, and a patented duplex stainless steel called Alloy 86. The suction rolls are used in papermaking machinery, and Sandusky produces flexible and rigid rolls.
Sandusky president and CEO Ed Ryan told employees the decision to sell evolved from a process begun in January of this year when Sandusky began looking for a partner that could use its excess manufacturing capacity and provide diversification with new products for customers outside papermaking.
“As talks progressed, the benefits gained by Sandusky and MetalTek joining forces became obvious to both of us,” Ryan said in a statement. “Sandusky’s large melting capacity offers MetalTek the opportunity to increase sales by providing much larger, heavier centrifugally cast products to their existing customer base. MetalTek’s global market presence, engineering capability and broad scope of casting process capabilities provides significant opportunities for Sandusky to access new markets and grow the business in Ohio and in Scotland.”
Ryan offered assurance that a takeover by MetalTek would not lead to closings for the Sandusky plants.
MetalTek’s Smickley said: “Sandusky’s size capabilities will allow us to serve our customers with larger products while MetalTek’s reputation as a technological leader will help extend the product offerings produced at the Sandusky locations. This transaction will increase MetalTek’s presence in the U.K. and provide further leverage into EU markets.”
MetalTek Reported in Purchase Talks for Sandusky
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