Nizi International and Chemalloy reach agreement with the intention of the Nizi Group to acquire Chemalloy
Nizi International (Nizi) and Chemalloy Company, Inc. (Chemalloy) have reached a nonbinding agreement where Nizi is to acquire substantially all of the business and assets of Chemalloy.
Chemalloy specializes in the manufacturing of custom sized alloys, metals, minerals and chemicals for various industrial applications. It is the leading supplier of metal powders to the North American welding industry. Headquartered in Bryn Mawr, PA, Chemalloy employs approximately 85 people, located at three sites. Founded in 1963 by Tony Demos, President and CEO, Chemalloy represents a long and proud history of serving the North American welding, foundry and steel customers. The business has delivered strong performance and growth over decades.
Chemalloy will continue as a separate entity within the Nizi Group, operating under the Chemalloy brand. Tony Demos and the other members of the Chemalloy management team plan to provide a seamless transition of the Chemalloy business to the Nizi Group. Nizi is a leading marketer and distributor of ferroalloys, base metals and foundry products. Historically, the core market of Nizi has been Europe, while the acquisition of Miller and Company in 2012 strengthened the position of the group in the U.S. foundry market. The acquisition of Chemalloy will further strengthen the Nizi Group in North America. There are substantial synergies between the companies within product sourcing and worldwide market coverage.
The contemplated transaction is expected to close before the end of the year.
Dag Teigland, CEO at Holta Invest and Chairman of Nizi International commented on the announcement: “Nizi International represents our long-term industrial commitment towards the metal industry and we have high ambitions for the future development of the Nizi Group. With a strong financial platform, a highly dedicated organization and a robust business model Nizi is well positioned for growth and further geographical expansion. Chemalloy fits right into this strategy. As the preferred supplier to the North American welding industry Chemalloy will add a new dimension to the Nizi Group. In addition, both companies represent proud industrial traditions and share a lot of the same values. Tony Demos has done a remarkable job in developing Chemalloy over the last decades and we thank him for his trust in us to take over his company. Together we will continue to offer a reliable and competitive supply of raw materials to our customers.”
Tony Demos, owner and President at Chemalloy, added: “I am very pleased to see Chemalloy become part of the Nizi Group. Looking for a new owner of my company, I have given first priority to the interest of my always-loyal customers and employees. I believe these interests will be well looked after under the Nizi ownership. This is a perfect fit between two highly respected companies with similar values and business philosophies. Nizi´s broader worldwide footprint will also bring sourcing opportunities to bear in the U.S. market for the benefit of all our customers.”
“We are very impressed by the work that has been done by Tony Demos and his crew. Chemalloy enjoys an impeccable reputation with a longstanding tradition of offering excellent service, quality and integrity to the industry.” said Ulf Berg, CEO Nizi Group.
About Chemalloy Company, Inc.
Chemalloy was founded in 1963 by Tony Demos who is the President and CEO. The headquarters is in Bryn Mawr, PA and the main processing site is at Conshohocken, PA. Chemalloy specializes in the manufacture of custom sized alloys, metals, minerals and chemicals for various industrial applications. It is the leading supplier of metal powders to the North American welding industry. Chemalloy employs approximately 85 people.
About Nizi International
Nizi International was founded in 1898 in Luxembourg as company serving the regional customers with pig iron and ferroalloys. The Group has later expanded to become a growing global player in the trading and distribution of base metals, ferroalloys, and foundry products. Nizi has a global sourcing network and a proven record of long-term contracts. Combined with solid technical knowhow, competitive financial solutions and sophisticated management systems Nizi offers a full range of services to the leading metal companies of the world.
The Group headquarters is in Luxembourg, with field offices through Europe, North America, South America and Asia. The Group is operating as Miller and Company towards the foundry industry in the USA. The Group has a turnover of about 1 billion EURO and employs approximately 150 people. Nizi International is owned by Holta Invest AS, Oslo, Norway.
About Holta Invest
Holta Invest AS is a privately owned investment company with roots back to the 1800´s and the first Norwegian industrial development. The company has various industrial engagements. Industrial development is performed through long-term active ownership. Holta Invest is located in Oslo, Norway.
Source: Nizi International