Klöckner & Co acquires US metal components fabricator Industrial Manufacturing Services

• Acquiring highly profitable company with annual sales of around USD 30 million

• Significant expansion of metal fabrication business in the USA

• Acquisition provides an attractive growth opportunity with existing and new customers

Lancaster (SC), USA / Duisburg, Germany, November 2, 2023 – Klöckner & Co has agreed to acquire Industrial Manufacturing Services (IMS) through its U.S. subsidiary Kloeckner Metals Corporation (KMC). The transaction marks a further milestone in the implementation of Klöckner & Co's corporate strategy "Klöckner & Co 2025: Leveraging Strengths" whereby the company is consistently expanding its product and service portfolio along the value chain towards customers. As part of this strategy, Klöckner & Co intends to expand its fabrication portfolio to benefit from the highly profitable fabrication business and from being significantly less dependent on steel price developments. The acquisition of IMS fully contributes to this strategy. The parties agreed not to disclose the purchase price or further details. The consolidation of the business will take place from the beginning of November 2023.

Headquartered in Lancaster (SC), USA, IMS provides fabrication, welding, assembly as well as just-in-time warehousing of light to medium size sub-assemblies to OEMs of the heavy machinery industry. KMC intends to build on this growth opportunity, attract new customers within the market, and further develop existing relationships with OEMs. Moreover, the acquisition enables KMC to add IMS's strong expertise in welding and finished parts manufacturing to its existing service portfolio and to implement it at other KMC facilities throughout North America. As a result, KMC will significantly strengthen its leading position within the market and further differentiate its offering from competitors.