WRCA Signs Agreement to Purchase CASAR

August 10, 2007 • Wire Rope Corporation of America, Inc., St. Louis, Mo., announces it has entered into a definitive agreement to acquire CASAR Drahtseilwerk Saar GmbH, Kirkel, Germany, and certain assets comprising its worldwide business. Subject to normal closing conditions, the transaction is expected to close in approximately 20 business days.

 

“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,” said Ira Glazer, CEO of WRCA. “The CASAR acquisition accomplishes another leg of this strategy by firmly establishing WRCA in Europe.”

 

WRCA plans to utilize CASAR as the base for all European operations. This includes investment in plant and equipment, as well as the potential for additional jobs in Kirkel. With CASAR as the focal point, the company also plans to expand its export activities which can translate to more jobs as well.

 

The acquisition of CASAR follows the purchases of Aceros Camesa in Mexico and Wireline Works in Canada. In 2006, WRCA also formed a joint venture with Wuhan Iron and Steel in China to build the world's most modern wire rope manufacturing facility, which is scheduled to open in April 2008. 

 

WRCA is owned by investment funds managed by San Francisco and New York-based private equity Fox Paine Management III, LLC, which had a key role in facilitating the acquisition and arranging the financing for the CASAR transaction.