Etem Bulgaria, a wholly-owned subsidiary of Belgium-based holding company Viohalco, has decided to divide its extruded aluminium profiles manufacturing business and the additional processing of aluminium profile for the automotive industry into two units. The news came when the company itself announced about this in a press release on Thursday, January 10. Viohalco also said that it decided to enter into an investment agreement with Spanish car parts maker Gestamp.
Per the agreement, the joint ventures will focus on the extrusion and processing of aluminium profiles for the automotive industry. Around 30 million euro will be invested in the programme. New extrusion line and related machinery will be installed for further processing of aluminium profiles in Bulgaria.
Viohalco expects that its agreement with Gestamp will further strengthen Etem Bulgaria’s position in the automotive sector and help it successfully meet the increased demand for aluminium products. Gestamp is a leading global group specialised in the design, development, and manufacturing of metal components and structural systems for the automotive industry.
However, the agreement is subject to competition clearance approvals from the European and Turkish competition authorities.
Viohalco is a listed company on Euronext Brussels (VIO) and the Athens Stock Exchange (BIO). Its subsidiaries specialise in the manufacture of aluminium, copper, cables, steel and steel pipes products. Viohalco companies collectively generate annual revenue of 3.7 billion euro. Etem Bulgaria has an annual production capacity over 35,000 tonnes.
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