French engineering giant Fives acquires Cincinnati, Giddings & Lewis and Forest-Liné brands

With this acquisition, Fives says it has become one of the global leaders in high precision machine tools used to manufacture large complex equipment and high performance composite processing machines. This leadership position is achieved, in part, as a result of the acquisition of the three MAG brands of Cincinnati, Giddings & Lewis and Forest-Liné. (Fives is also the owner of grinding machine specialist Cinetic Landis, Keighley, West Yorkshire – see here.) The acquisition of these MAG Americas brands is in line with Fives' ambition and strategy to further strengthen its position in high growth sectors, such as the aerospace, renewable energy, mining and special equipment sectors. These sectors experience increasing levels of demand, both in terms of the performance standards as well as the innovation capacity and ability. Frederic Sanchez, president of the executive board of Fives, said: "The technological expertise gained through the acquisition of MAG Americas is key to successfully support and achievement of the innovation strategies and requirements of our major customers." "Acquiring MAG Americas fits well with the growth strategy of Fives. It allows us, on one hand, to acquire a leading position in the technology of composite materials, which is anticipated to have a bright future in many industrial sectors. Secondly, it enables us to achieve our global ambition to design and manufacture key production equipment and machines for leading industrial sectors such as aerospace, heavy equipment, and energy. "Strong brands such as Cincinnati, and all the related patents acquired from the MAG Group, are very complementary to our portfolio of businesses and technologies. "In addition, the acquisition strengthens our global presence. It provides us with new opportunities in emerging markets and a greater footprint in the United States." MAG Americas has 1,000 employees, based in the United States, France, Canada, China, Korea and Russia, will join the 6,500 Fives' employees in 30 countries. In 2012, MAG Americas achieved a turnover of approximately $400 million, 67% of which was achieved in the United States. Since the beginning of the year, Fives also has strengthened its position in the high value added steel sector. In December 2012, it acquired Keods, a company specialising in high level consultancy in metallurgy, focused on improving the quality of flat carbon steel products - something which is crucial for the development the product mix of global steel manufacturers, especially when it comes to the automotive industry. Then, on 2 of July 2013, Fives signed a contract to acquire OTO Mills, an Italian manufacturer of production lines for welded steel tubes and automation systems for the steel industry. Upon completion of the acquisition, Fives will become the world-leading manufacturer of production equipment for steel tubes and profiles. Fives is an industrial engineering Group with a heritage spanning over 200 years of engineering excellence and expertise. It provides process equipment, production lines and turnkey plants for the biggest global players in the aluminium, steel, glass, automotive, logistics, cement and energy sector, in both developing and developed countries. In 2013, Fives is forecast to turnover €2 billion and will boast more than 7,500 employees in over 30 countries.