16.08.2007

WRCA ropes in Casar

Wire Rope Corporation of America, (WRCA), one of the leading producers and distributors of specialty wire ropes, has announced that it has entered into a definitive agreement to acquire the entire business of Casar Drahtseilwerk Saar GmbH.

The transaction is subject to normal closing conditions and is expected to close by the end of August.

Casar, based in Kirkel, Germany, is a leading European manufacturer of high performance wire rope for crane use, for both land and offshore applications.

Chief executive of WRCA, Ira Glazer, said: “During the past three years, our company has followed a growth strategy to expand WRCA’s global manufacturing presence and further diversify our end-markets and geographic mix. The CASAR acquisition accomplishes another leg of this strategy by firmly establishing WRCA in Europe.”

WRCA plans to use Casar as the base for all of its European operations, this will lead to new investment in plant and equipment as well as the potential for additional jobs in Kirkel.

The company also plans to use Casar ad the base for major expansion in its export activities.

“Casar is one of the finest wire rope companies in the world and a leader in quality and technology,” continued Glazer. “We plan to have a seamless transition of Casar’s customers and employees as we carry forward Casar’s tradition of engineering excellence. Finally, I would like to thank the Verreet family for their support in completing this transaction.”

This latest acquisition comes on the tail of the purchases of Aceros Camesa in Mexico and Wireline Works in Canada by WRCA during 2006. The company is based in St Jospeh Missouri.

WRCA has also formed a joint venture with Wuhan Iron and Steel in China to build What it claims will be the world’s most modern wire rope manufacturing facility, scheduled to open in April 2008.

WRCA is owned by private equity company Fox Paine Management III, of San Francisco and New York. Fox Paine III arranged financing for the Casar acquisition.

Troy W. Thacker, managing director of Fox Paine, said: "We are proud to continue to support
WRCA in its strategy of building the premier global manufacturer of lifting and specialty wire rope and electromechanical cable.