WEG Tintas Announces Acquisition in Argentina and new units in Brazil
New units increase coatings production capacity, improve distribution logistics in Brazil and expand operations in Latin America.
WEG S.A. announced today that it has signed an agreement for the acquisition, by WEG Tintas, of Pulverlux S.A., an Argentine company specialized in manufacturing and marketing of powder coatings. Additionally, WEG announced the opening of a new manufacturing facility in Maua (SP) and of a distribution unit in Cabo de Santo Agostinho (PE). The Brazilian units were already part of the previously announced and approved capital budget.
Pulverlux operates in the architectural, aluminum profiles, electrical panels, appliances, auto parts, machinery and equipment segments for over 10 years. With 42 employees and 10,000 square meters area in Buenos Aires, the company has Revenues of approximately $ 7 million per year.
At the same time, in response to increased investment in the exploration of Brazil¿s pre-salt oil reserves, the new coatings¿ manufacturing unit in Maua (SP) will improve distribution logistics in the Brazilian Southeast Region as well as increase the production capacity of liquid coatings. The unit of the Cabo de Santo Agostinho (PE), located 25 kilometers from the Suape port and 17 kilometers from Recife, will improve supply logistics in the Brazilian North and Northeast Regions.
"With these investments and the increase of our production capacity, we intend to improve our distribution logistics in Brazil, and expand our operations in Latin America," said Reinaldo Richter, WEG Tintas Managing Director.
Leader in the Brazilian powder coatings market, WEG Tintas manufactures and markets liquid, industrial, anti-corrosive and marine application coatings for different market segments since 1983. With headquarters in Guaramirim (SC), the unit employs over 600 people in Brazil.
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Statements about Future Expectations
Some statements contained herein may be projections or statements about future expectations. Such statements are subject to known and unknown risks that may cause such expectations not to come true or be substantially different from the expected. Those risks include, among others, changes in the future demand for the products of the company, changes in the factors that affect the domestic and international prices of the products, changes in the cost structures, changes in the markets, changes in the prices practiced by the competitors, exchange rate variations, changes in the political-economical scenario in Brazil and in emerging and international markets.