New German foundry firm buys two facilities

Switzerland-based GF Casting Solutions (GFS), a supplier of iron and light metal casting products, has announced the sale of two of its iron foundries in Germany – in the cities of Singen and Mettmann -- to a new firm founded by three managers of GF Casting Solutions. The acquiring firm is known as Fondium B.V. & Co KG and is based in Mettmann, Germany.

The asset sale comes as GF Castings says it has decided to focus more of its business on operating light metal casting operations, including the production of aluminum and magnesium castings.

While selling the iron foundries, GF Casting says it will increase capacity in the United States, Romania and China, where its lighter metal castings are being produced. Additionally, the division is investing into its super alloy components business for aircraft engines and industrial gas turbines, following the acquisition of Precicast Industrial Holding SA, located in Switzerland, in April 2018.

“The reshaping of its portfolio will allow GF Casting Solutions to better leverage opportunities in light vehicle structures and aircraft engine components,” says Yves Serra, GFS’s CEO. “With Fondium, we found a partner whose owners have an extensive expertise in the [iron] casting business, able to ensure continuity for our customers and secure the further development of the two companies outside of GFS.”

Achim Schneider, co-owner and spokesman of the Fondium Group, says, “With Fondium we create an agile, owner-operated automotive supplier with a clear market focus. We are looking forward to create a successful future together with our 2,000 employees.”\

On its website, GFS indicates its cast components are made from 100 percent recycled material, with its foundries (including the two German ones purchased by Fondium) melting scrap iron, secondary aluminum and recycled magnesium.