RHI Magnesita intends to acquire Resco Group, a U.S.-based producer of alumina monolithics and a wide range of basic and non-basic refractories, for up to $430 million.
The deal will increase RHI Magnesita’s North American production footprint by transferring significant volumes of production from non-U.S. plants to the Resco production facilities in the U.S.
“Based on customer feedback, we are taking steps to improve supply chain security, reduce production lead times, and stabilize working capital,” said the company. “This acquisition continues the group’s strategic growth trajectory in alumina-based refractories by providing U.S. customers with an improved product offering.”
The acquisition is subject to customary closing conditions including merger control authority approval and is expected to be completed in the second half of 2024.
