Grede Holdings goes public

Metaldyne Performance Group Inc. (MPG), the Plymouth, Michigan-based holding company of iron foundry firm Grede Holdings LLC, has announced $15 per share pricing for an initial public offering (IPO) of 10 million shares of common stock. The company will be traded on the New York Stock Exchange under the symbol MPG.

 

“The IPO will further strengthen MPG and Grede’s position as leaders in the metal-forming industry,” says Doug Grimm, CEO of Grede and co-president of MPG. “This public offering will provide us with additional flexibility to raise capital in the future to serve our customers and continue to expand our business.”

 

Grede, based in Southfield, Michigan, melts iron and steel scrap to manufacture cast, machined and assembled components for the light and commercial vehicle and industrial end markets. Grede Holdings LLC has 4,600 employees and operates 14 foundries and three machining operations in North America. (A 2010 Recycling Today profile of Grede can be found here. 

 

The company says it is meeting the lightweighting needs of its customers through the development and production of lightweight, ultra-high-strength, cast ductile iron components for automotive and commercial vehicle chassis and powertrain applications.

 

“We've steadily built a reputation for quality, safety and value, garnering awards from our customers, industry associations and communities,” says Grimm. “This IPO is a natural transition for Grede as we continue to advance our leadership position in the metal casting industry.”

 

MPG, which is majority-owned by private equity firm American Securities LLC, provides components for use in powertrain and other platforms in the global light, commercial and industrial vehicle markets.

 

MPG was formed in August 2014 through the merger of Grede Holdings LLC, HHI Group Holdings and Metaldyne LLC.

 

Grede Holdings LLC was formed in 2010 through the combination of assets of the former Grede Foundries Inc., Blackhawk Foundry (USA), and Citation Corp. Grede Holdings operates 14 foundries and three machining operations in North America.