It's just business: Manufacturing moves from Honeywell, Stanley Black & Decker, Siemens, and more
As manufacturers strive to optimize and improve profitability, they often use various business strategies to stay competitive. These actions include mergers, acquisitions, promotions, layoffs, funding, and much more. Below are just a few of the companies that are making moves and making headlines in the industrial sector.
Acquistion: Siemens AG has agreed to purchase ebm-papst's industrial drive technology (IDT) business, which includes intelligent, integrated mechatronic systems in the protective extra-low voltage range and innovative motion control systems. Siemens hopes the acquisition will improve its status as a provider of flexible production automation. In a recent quote, Cedrik Neike, member of the Managing Board of Siemens AG and CEO of Digital Industries, said, “Ebm-papst’s innovative portfolio of mechatronic drive systems and its highly qualified people are an excellent fit for Siemens. The acquisition will enable us to tap new business and customer potential in the rapidly growing market for intelligent, battery-powered drive solutions in intralogistics as well as mobile robot solutions.”
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Plant Closure: Stanley Black & Decker Inc. has announced plans to change its manufacturing and distribution network. The company will move operations from its Cheraw, South Carolina plant to two facilities in Tennessee, creating a job loss for 182 workers in South Carolina and generating 80 new jobs in Tennessee. In addition, its plant in Fort Worth, Texas will be closed, affecting the employment of 175 workers. In a recent press release, the company said, “These actions are aligned to the transformation strategy designed to deliver $2 billion of cost savings and are reflective of current economic conditions which highlighted needed changes in Stanley Black & Decker's production and distribution network. Strategic actions supporting the transformation will also enable a more focused product portfolio and strategic sourcing while delivering operational and service excellence.”
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Acquistion: Canoo Inc. has purchased advanced manufacturing assets from Arrival Automotive UK Limited. Canoo did something similar earlier this year when it purchased new and like-new assets owned by Arrival Automotive USA, Inc. According to the company, these acquisitions will allow Canoo to shorten purchase lead times by over 40%, reduce capital expenditures by 20%, and lower unit costs. In a recent quote, Tony Aquila, Investor, Executive Chairman, and CEO of Canoo, said, “Our current strategy will save our shareholders tens of millions of dollars, which today, is not properly reflected in the value of our company. We remain focused on capital discipline and the smartest way to invest and create value.”
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Acquistion: Honeywell has announced plans to acquire the entire share capital of Civitanavi Systems S.p.A. The acquisition, which will cost about €200 million, will help Honeywell offer a broader set of technologies and allow its customers to create autonomous operations in aircraft and other vehicles. In a recent quote, Honeywell Aerospace Technologies President & CEO Jim Currier said, "By integrating Civitanavi's inertial technologies and sensors across Honeywell's existing commercial, military, space and industrial platforms, our customers across the globe will now have access to a more robust portfolio of aerospace navigation solutions in support of their journey toward autonomous operations."
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Acquistion: MSC INDUSTRIAL SUPPLY CO. has acquired intellectual property (IP) assets from Schmitz Manufacturing Research & Technology LLC (SMRT). These assets are related to technology solutions for the U.S. manufacturing industry. In a recent quote, Erik Gershwind, MSC President and Chief Executive Officer, said, "This is an exciting day for MSC. SMRT is bridging the gap between cutting edge research and the manufacturing industry. We look forward to further advancing innovation across our best-in-class metalworking products and solutions by combining our technical expertise."
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