Exciting Developments in the Concrete Industry!
In the heart of St. Louis, there’s big news making waves in the concrete and precast equipment industry! Afinitas, a well-known company in this field, has just made a significant move by acquiring the concrete division assets and intellectual property from Elk River Machine Co. (ERMC) based in Minnesota. This venture is expected to enhance Afinitas’s already impressive portfolio of concrete pipe and precast equipment.
A New Chapter for Afinitas
Private equity-backed Hutchinson Manufacturing LLC decided to divest ERMC’s concrete division, allowing them to refocus on other areas of custom metal fabrication and various contract work. This gives Afinitas an impressive collection of products that includes a wire mesh bender and roller, cage expander, as well as formwork for retaining walls and both wet and dry cast forms. These acquisitions will now be a part of the offerings provided by their trusted brands, including HawkeyePedershaab, New Hampton Metal Fab, and Spillman Co..
What This Means for Customers
According to Jason Duncan, CEO of Afinitas, “The acquisition of ERMC’s technology, combined with our extensive offering, enables us to serve customers with an even more comprehensive selection.” This is fantastic news for customers who can now expect a wider range of high-quality products at their fingertips. Duncan also noted that it’s essential for Afinitas to maintain and build upon the relationships that ERMC has cultivated, saying, “Equally important, we look forward to servicing and being a trusted resource to the current ERMC customer base.”
To further support this integration, Paul Gill, ERMC’s Senior Designer, is joining the Afinitas family. He will assist Dave Stoller, the Global Vice President of Engineering, in overseeing the integration of ERMC’s assets. This is a wonderful addition that promises a smooth transition as they merge operations.
Insteel Industries Expands Its Reach
Meanwhile, it’s not just Afinitas making headlines. Insteel Industries, through its subsidiary Insteel Wire Products Co. located in Mt. Airy, North Carolina, has made a buzz of its own by acquiring Engineered Wire Products (EWP) based in Upper Sandusky, Ohio, in a massive $70 million asset transaction. EWP operates wire drawing, welding, and mesh fabrication facilities in Warren, Ohio, and Las Cruces, New Mexico. Their products primarily support both residential and non-residential construction, focusing on reinforcement for precast and cast-in-place concrete.
The Impact of the Acquisition
For the fiscal year ending September 30, EWP reported sales of an impressive $93.3 million. This purchase is a strategic move for Insteel Industries, broadening their geographic footprint while strengthening their presence in the Midwest market. CEO H.O. Woltz III expressed optimism about the move, saying, “The acquisition of EWP will enhance our customer service capabilities and drive down costs through operational synergies.”
What’s Next?
As both Afinitas and Insteel Industries advance with their respective acquisitions, the concrete industry stands poised for exciting developments. These strategic maneuvers not only promise improved product offerings and customer service but also demonstrate the resilience and evolving nature of the construction sector. With increased competition and improved technology, those involved in concrete and precast industries have plenty to look forward to!
As the dust settles on these transitions, stakeholders and customers alike are eager to see how these changes will shape the future of their projects and the industry as a whole.
