Jan 8 2008
The Siemens Division Industry 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.