Grede Foundries Sells Facilities

Grede Foundries announced that the U.S. Bankruptcy Court of the Western District of Wisconsin has approved the company sale of its principal operating plants to an affiliate of Wayzata Investment Partners LLC of Minnesota. The transaction includes Grede’s corporate headquarters in Milwaukee and foundries in Wauwatosa, Wis. and Reedsburg, Wis.; St. Cloud, Minn.; Wichita, Kan.; New Castle, Ind.; and Iron Mountain/Kingsford, Mich.

Closing on the sale is expected by the end of February.

 “The reorganization efforts we have undertaken over the past several months have strengthened our company and returned it to profitability, and we are confident that the business is positioned to grow and prosper with Wayzata’s strong financial backing.” Said Richard Koenings, Grede’s chairman.

Grede filed for bankruptcy protection in late June. In November, the company announced it had reached a purchase agreement with the Wayzata affiliate in an auction for the company.

“Our goal throughout this process has been to get the best value possible, and this arrangement allows us to do just that,” Koenings said.

The Grede facilities in Greenwood, S.C., and Vassar, Mich., were not part of the Wayzata sale package. The Greenwood foundry has been closed for several months, and Grede is selling the remaining real estate and equipment. The Vassar foundry, which continues to operate, was sold to Kentucky-based Revstone Industries earlier in December.