GKN plc, the engineering and manufacturing group for aerospace and automotive powertrain parts, agreed to by Tozmetal Ticaret Ve Sanayi AS (Tozmetal), a Turkish manufacturer of powder-metal parts for hydraulic pumps. The cost of the purchase was not made public.
The deal still awaits approval from "merger control authorities" in Turkey and Germany, according to GKN.
"We are very excited to welcome Tozmetal into GKN Powder Metallurgy," stated Peter Oberparleiter, CEO of GKN Powder Metallurgy. He called Tozmetal, "a well-run business that will complement our broad presence in the powder-metals market."
GKN Powder Metallurgy is a portfolio that combines GKN Sinter Metals, which produces powder-metal parts for industrial markets and consumer applications; and Hoeganaes, which develops and produces the "atomized" alloy materials known as powdered metals.
Operating from a 6,000-sq.m. plant at the Istanbul Ataturk Freed Trade Zone, Tozmetal was founded in 2007 and had 2016 sales of €24 million, or about $25.7 million. Much of its output is supplied to European automotive manufacturers and their suppliers. Its range of more than 1,500 parts is seen increasing significantly GKN’s position presence in the regional automotive supply chain.