Swedish rolled aluminium firm Gränges AB and Australian metal 3D printing developer Aurora Labs Ltd signed a Memorandum of Understanding last week that contemplates increased commercial and research ties between the two firms.
Operating through its wholly-owned subsidiary A3D Operations Pty Ltd., Aurora and Gränges agreed to a framework for possible future transactions between the firms, including a pre-order an Aurora RMP-1 Rapid Manufacturing Printer by Gränges, the supply of Gränges’ proprietary aluminium powder to Aurora, increased cooperation between Gränges and Aurora in research and development projects investigating the use of aluminium in additive manufacturing, and collaboration in projects to identify opportunities for use of aluminium in additive manufacturing across several sectors, including automotive manufacturing.
“This is a remarkable relationship for Aurora and we are very pleased to partner with Gränges, a forward thinking and innovative company with products extensively placed across the automotive sector,” said Aurora’s Managing Director David Budge.
“The proposed transactions, if consummated, could potentially be worth up to approximately US$7.75m in revenue to Aurora. Further, if Gränges purchases one of our RMP-1s, it will lead to some exciting and innovative developments in both the internal combustion engine and electric vehicle markets. Aurora is expecting to see enormous growth in additive manufacturing through the automotive sector in coming years.”
Though the five-year agreement does not bind the parties into any particular transaction, it does obligate the firms to conduct constructive negotiations to that end. Either Gränges or Aurora may cancel the agreement with 180 days’ notice or in the event of insolvency.
Begun in 1873 in Stockholm, Sweden as Trafik AB Grängesberg-Oxelösund, Gränges AB was resurrected in 2013 as a private company specializing in rolled aluminium heat exchangers. It employs almost 1,800 employees at the present time at two plants – one in Finspång, Sweden, that opened in its present configuration in 1972, and a second in Shanghai, China, opened in 1996. The firm boasts a total nameplate capacity of 420 thousand metric tons per annum and an annual sales total of SEK13 billion (US$1.35 billion).