Press Release – September 6th, 2016
St. Marys, PA, September 6, 2016. - Sumitomo Electric U.S.A. Holdings, Inc. (SEUHO), a wholly owned subsidiary of Sumitomo Electric Industries, Ltd. (Sumitomo Electric), and Keystone Powdered Metal Company (Keystone), a privately held company, announce they have reached an agreement to merge. The two companies executed an acquisition agreement on August 5, 2016, which, along with the Plan of Merger, was approved by Keystone's shareholders on September 2, 2016. The final closing is expected to occur within the next 30 days.
Sumitomo Electric Industries, Ltd., is a global company with many different production groups including powdered metal which operates under Sumitomo Electric Sintered Alloy, Ltd. Sumitomo Electric Sintered Alloy, Ltd. currently has powder metal parts manufacturing facilities around the world. The merger with Keystone provides the group with growth and adds synergies in products, technologies, markets and customers. Keystone is a leading designer and manufacturer of highly engineered powdered metal and powder forged automotive powertrain and driveline solutions. For Keystone, the merger adds access to expanded resources and offers the ability to provide their technologies to customers on a global basis.
Keystone has been an innovation and technology leader in the North American powder metal industry since its founding in 1927. The Company services the Automotive (OEM's and major Tier I Companies), Appliance, Outdoor Power Equipment, Electrical Motor and industrial markets offering the full spectrum of ferrous PM materials and processes, ranging from conventional material systems to full density Powder Forged. With over 58,000 m2 of manufacturing floor space across three facilities located in St. Mary, PA, Lewis Run, PA and Cherryville, NC, Keystone has approximately 600 employees, sales in excess of $120,000,000 and is one of North America's largest PM companies. Once the merger is finalized, Keystone will continue to operate under the Keystone brand. The current Keystone management team will remain with the Company providing continuity to all stakeholders of the business. For more information about Keystone, visit www.Keystonepm.com
SEUHO is a wholly owned subsidiary of Sumitomo Electric, which was founded in 1897. For more than 110 years, Sumitomo Electric has pursued the challenge of developing proprietary technologies and new businesses based on its electric wire and cable manufacturing technologies. Currently, the company is engaged in diverse activities in five business segments: Automotive, Infocommunications, Electronics, Environment and Energy, and Industrial Materials. Sumitomo Electric is headquartered in Osaka, Japan and is publicly traded on the Tokyo, Nagoya and Fukuoka Stock Exchanges. It had net sales of over $26 billion for the last fiscal year, and over 240,000 employees worldwide. SEUHO develops Sumitomo Electric businesses in and around the North American market. For more information about Sumitomo Electric, visit www.global-sei.com.