Siemens to Acquire Morgan Construction
01/03/2008 - Siemens’ Industry Solutions Division announces the acquisition of Morgan Construction, a recognized designer, manufacturer, and service provider for high-speed rod, bar, combination mills and handling equipment.
Siemens’ Industry Solutions (IS) Division announced the acquisition of Morgan Construction Co., Worcester, Mass. The purchase price was not disclosed.
Siemens intends to take over 100% of the Morgan Construction shares. Morgan, a recognized leader in rolling mill technology, designs and produces wire rod rolling-mill equipment for the international long-products industry. With the acquisition, Morgan would become a division company of Siemens Industry Solutions under the responsibility of the IS Business Unit VAI Metals Technologies, which is headquartered in Austria.
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 for 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 of 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.”
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,” said Philip R. Morgan, Morgan’s President and CEO.
Completion of the transaction is conditional on the approval of the relevant authorities.
Siemens VAI Metals Technologies (MT) is one of the world's leading engineering and plant-building companies for the iron and steel industry as well as for the flat-rolling sector of the aluminum industry and for open-cast mining. MT, which was created from the integration of Voest-Alpine Industrieanlagenbau, Austria, plus the electrical engineering product business and automation solutions of Siemens, provides a comprehensive range of supplies and services for all related technological processes and integrated automation solutions for the entire life-cycle of metallurgical plants.
Morgan Construction designs and produces 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.
