Gränges Purchases Utilities Infrastructure At Finspång From Jernbro For SEK93 Million

Gränges Purchases Utilities Infrastructure At Finspång From Jernbro For SEK93 Million

Swedish rolled aluminium firm Gränges AB announced on Friday the acquisition of the entirety of the utilities infrastructure at its plant in Finspång from industrial services provider Jernbro for SEK93 million (US$9.65 million).

Per the firm, the buy-out of Finspång’s utilities infrastructure from Jernbro will insure the plant continues to receive a reliable and safe supply of energy and other utilities for the long term. Along with the buy-out was an agreement between Gränges and Jernbro regarding maintenance and operations of the utilities infrastructure.

Gränges said the move will have an effect upon the cash flow numbers for the current quarter, but it should have a minimal effect on profits if it has any effect at all. However, the firm promises the move will have a positive influence upon the company’s bottom line over the long term.

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).