24.09.2019, Munich. Callista Private Equity GmbH (“Callista Private Equity”) announces the acquisition of a majority interest in the Ergocast Group (“the Company”) by Callista Holdings GmbH & Co. KG. Following the sale by Ergocast Verwaltung GmbH, the company will now be renamed Vulcast Germany GmbH.
The operating company of the Ergocast Group – Ergocast Guss GmbH – produces grey cast iron and spheroidal graphite cast iron parts up to 70t unit weight using the furan sand process. The company has been based in Jünkerath in the Eifel region of Germany since 1687 and will continue to produce small series and one-off items there. The cast parts are used in gas and steam turbines, gearboxes, clamping units of plastic injection moulding machines, presses and compressors.
The change of name from Ergocast to Vulcast Germany is a clear sign that the company is striving for intensive cooperation with the existing Callista portfolio steel foundry Vulcast S.A. (Belgium) and that the resulting synergies will have a positive effect on both companies. In the first few months Callista Private Equity will focus on finding new starting points and profitably managing resources and capacities in both companies. For the year 2019, the Vulcast Group expects a turnover of more than € 40 million. For the future, Callista is planning further acquisitions in the foundry industry to drive diversification and achieve a larger market presence.
“The acquisition of Ergocast will give us the flexibility and agility in production currently needed in the market to remain competitive against low-wage countries. There are already initial projects in which we have successfully completed a joint test phase, so will be able to produce products in the future where the expertise for special castings is greatest and we can therefore produce them most efficiently,” says Marc Zube, Chief Operating Officer of Callista Private Equity GmbH.