Metaldyne in motion

Metaldyne announced yesterday that it will expand its manufacturing location in Pyeongtaek, South Korea. The plant, which produces balance shaft modules for Hyundai, will expand to include powder metal connecting rod assemblies and front-end modular assemblies. Metaldyne will also add engineering resources in the region.

“Asia is a key growth area for Metaldyne,” said Tim Leuliette, Metaldyne chairman, president and CEO. “Since the formation of the company in 2001, we have grown our business in Asia from less than five percent of our total sales to nearly 25 percent by 2010.”

Metaldyne also said that it has retained Goldman Sachs to explore a possible divestiture of its North American forging business. According to a statement, this business is non-core to Metaldyne and represents approximately 15 percent of the company’s total sales.

“Metaldyne has reported continued revenue increases and financial improvement through an otherwise sluggish automotive market,” said Leuliette. “The divestiture of our non-core North American Forging business would further strengthen our balance sheet and position Metaldyne for additional core business expansion.