Netherlands-based Amari Metals has now acquired Aluwind, which as indicated by the name makes aluminum components for the wind industry, as a part of acquiring full interest in Danish family-owned metal manufacturer Alumeco, concluding a sales process underway since 2016.

A subsidiary of US-based Henley Management Company, Amari made the acquisition through Nordic Metal Holding, established to carry out the purchase.

”Over nearly 40 years, Alumeco has grown to become one of northern Europe’s leading metals wholesaler within retail of semi-finished products made of aluminum, copper alloys and stainless steel, entailing big potential for utilization of future business opportunities,” comments Alumeco’s now-former owner, the 74-year-old Hans Schweers:

”The time has come, however, for my family and I to withdraw from business and the industry, and with this successfully closed transaction with Nordic Metal Holdings I have full confidence that Alumeco will gain significant opportunities and synergies to grow and thrive in the years to come.”

Record year for the group, annus horribilis for Aluwind

The transfer of ownership, the price of which is undisclosed, takes place after a period when Alumeco and Aluwind have felt the effects of the same situation, albeit in opposing ways. Whilst short supply of main ingredient aluminum and resulting price hikes thereof have been a boon for the parent company, the converse is true for the subsidiary catering to the wind sector.

During its fiscal 2021/2022, the Alumeco group achieved record-high revenue of DKK 7.8bn (EUR 1.05bn), up by as much as two thirds against the year prior – performance that also left a sightly mark on the bottom line, which at DKK 659m was almost threefold that of the already lucrative financial period 2020/2021.

On the other hand, Alumeco was obliged to inject a liquidity buffer of DKK 70m into Aluwind. For the already pressured subsupplier, last year’s events ended up squeezing the business, not so much as the result of surging costs of materials and freight, but rather owing to inauspicious price agreements with customers which largely precluded passing the bill for added expenses on to customers, thus coalescing into a net result of DKK -57.4m for fiscal 2021/2022.

Similar to so many other consolidations of late, economic advantages achievable from greater muscle mass are also highlighted in connection with this agreement. In the company announcement, the Schweer family declares itself ”convinced that our integration with Amari Metals will provide large synergies enabling expansion and strengthened relations with all our business partners”.

The takeover will expectedly reach full close within a matter of months pending customary approvals from public authorities. 

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