GKN expands in US metals

GKN has added to its US powdered metals operations with two acquisitions. Last week it acquired Zenith Sintered Products in Wisconsin and this week announced that it had bought the powdered metal arm of Bog-Warner Automotive of Gallipolis, Ohio. The Borg-Warner plant had full-year sales of £24m last year and has an estimated book value […]

GKN has added to its US powdered metals operations with two acquisitions.

Last week it acquired Zenith Sintered Products in Wisconsin and this week announced that it had bought the powdered metal arm of Bog-Warner Automotive of Gallipolis, Ohio.

The Borg-Warner plant had full-year sales of £24m last year and has an estimated book value of £26m. It is a supplier of forged powder metal for the automotive industry and employs 400.

Terms of the Zenith deal were not revealed. The firm, which employs 600 at five plants, had sales of £37.7m last year. Net assets were estimated at £6.4m. About 80% of Zenith sales go to the automotive industry.

In February GKN acquired Interlake Corporation for £348m, gaining a massive presence in sintered metals. Over the past two years GKN has spent nearly £1bn on acquisitions.