Cummins purchases Teksid Hierro de México from Stellantis
Cummins Inc signed an agreement in October 2022 to purchase from Stellantis N.V. the entire share capital of Teksid Hierro de México, S.A. de C.V. (Teksid MX) and Teksid, Inc. for approximately 115 million euros.
The purchase is still subject to certain adjustments set forth in the agreement.
Teksid MX operates an iron foundry located in Monclova, Mexico, which primarily forges blocks and cylinder heads used in Cummins engines and those of other manufacturers.
Financial results of Cummins
At the same time, Teksid, Inc. facilitates the marketing of Teksid MX’s products in North America.
The transaction, which is subject to customary closing conditions and receipt of applicable regulatory approvals, is expected to close in early 2023.
As Cummins the foundry’s primary customer, the acquisition is not expected to result in a significant increase in sales of that company’s business.
The company was founded in 1919 as Cummins Engine Company, a Columbus, Indiana, in United States, corporation and one of the first manufacturers of diesel engines.
Then, in 2001, the company changed its name to Cummins Inc.
Overall Cummins is a global power leader that designs, manufactures, distributes and services diesel, natural gas, electric and hybrid powertrains and powertrain-related components, including filtration systems, aftertreatment, turbochargers, fuel systems, control systems, air-handling systems, automated transmissions, axles, drivelines, brakes, suspension systems, electric power generation systems, batteries, electrified power systems, electric powertrains, hydrogen production and fuel cell products.
The company sells its products to original equipment manufacturers (OEMs), distributors, dealers and other customers worldwide.
In addition, Cummins serves its customers through a service network of approximately 460 independent, joint venture and wholly owned distributors and more than 10,000 certified Cummins dealers in approximately 190 countries and territories.
On August 3, 2022, the company completed the acquisition of Meritor for a purchase price of $2.9 billion (including debt repaid at the same time as the acquisition).