Linamar Corporation to Acquire George Fischer's Leipzig Facility

Executive Summary

• Linamar Corporation entered a definitive agreement to acquire 100% of George Fischer’s Leipzig Casting Facility for €45 million.
• The acquisition adds Europe’s largest molding box and advanced ductile‑iron casting technology, expanding Linamar’s capabilities in heavy‑industrial on‑ and off‑highway applications.
• Management states the deal is immediately accretive and will drive revenue and income growth while diversifying Linamar’s product portfolio.

Key Details

• Transaction Value: €45 million for 100% equity of Leipzig Casting Facility.
• Strategic Rationale: Diversifies Linamar’s casting solutions to include large ductile‑iron castings; provides technology from prototyping/3D‑printing through series production and machining.
• Facility Highlights: Europe’s largest molding box for machine‑molded iron castings; serves on‑highway truck, construction, forestry, agricultural, and other heavy‑industrial markets.
• Accretion: Acquisition described as “immediately accretive” to Linamar’s earnings.
• Management Comments:
• Linda Hasenfratz (Executive Chair) – emphasizes technology addition for on/off‑highway commercial vehicle growth.
• Jim Jarrell (CEO) – calls the deal a “great deal for shareholders,” noting revenue and income growth potential and proximity to existing European sites.
• Financial Advisor: National Bank Capital Markets acted as Linamar’s financial advisor on the transaction.

Notable Quotes

“The completion of the Leipzig facility acquisition provides excellent technology in large ductile iron castings to help Linamar build up our on and off highway commercial vehicle business, a key growth tactic for us this year.” – Linda Hasenfratz, Executive Chair

“This is a great deal for shareholders… This acquisition will also drive both revenue and income growth, and will enhance our Linamar family.” – Jim Jarrell, CEO