German steel and metals processor and distributor Klöckner & Co said Aug. 1 it has completed the acquisition of National Material of Mexico (NMM), an independent service center and materials supplier catering to automotive and industrial end markets in North America.
The transaction agreement was signed in December 2022 and was made through Klöckner’s US subsidiary, Kloeckner Metals Corporation.
The acquisition of NMM, with its 10 facilities throughout Mexico, enables Klöckner to expand its exposure to that region and its key automotive and industrial customers.
The move is in line with Klöckner’s Strategy 2025, which among other things targets growing the company’s product and service portfolio in North America.
Kloeckner & Co will incorporate NMM under its Kloeckner Metals brand and the combined company will have a broad presence in all relevant regions in the US and Mexico, with 56 sites and 2,600 employees. In addition, its customers will have better access to electrical steel for their investments in renewables and to meet rising demand for e-mobility in North America.
Kloeckner & Co’s distribution and service network numbers 160 sites in 13 countries. Last year it shipped almost 4.7 million mt of products to its 90,000 strong customer base, and is particularly known for its advances in digital transformation of distribution, aiming to digitalize and largely automate its supply and service chain.