IFGL Refractories buys 2 US cos for Rs 59 crore

IFGL Refractories has acquired two US-based firms — EI Ceramics and CUSC International — for $13 million (Rs ~59 crore), to build a presence in one of the world’s largest markets for steel.

EI Ceramics designs, manufactures and supplies alumina graphite continuous casting refractories to several steelmakers in North America, while CUSC provides ancillary services including processing of raw materials, warehousing and packaging to EI Ceramics. Moreover, CUSC also owns about 2.74 acres of land with a built-in warehouse.

IFGL Refractories intends to use the newly acquired facilities to cater to the demand of its customers as well as grow its customer base in the US,” said Mr Bajoria. It had earlier made two acquisitions in Europe — Monocon International Refractories in 2005 and Hoffmann Ceramics in 2008.

As per the agreement with EI Ceramics and CUSC, the day-to-day operations of the two companies will continue to be looked after by the current team and several key employees drawn from the two companies.