Acron Holding Expands with Acquisition of Transcat Metallurgical Plant

January 30, 2024
BY Industry News

Acron Holding, under the leadership of Pavel Morozov, has expanded its industrial and metallurgical portfolio with the recent acquisition of Transcat, a metallurgical plant in St. Petersburg. Specializing in the production of copper wire rod and contact wires, Transcat plays a strategic role in supplying its products to major cable plants in Russia and CIS countries. Notably, the plant produces unique contact wires crucial for high-speed traffic in the Russian Railways network.

This acquisition aligns with Acron's overarching strategy of maintaining a vertically integrated production chain. The plan is to seamlessly integrate Transcat into this production chain, leveraging the new asset to enhance production capacities and improve overall operational efficiency. Transcat's expertise in copper wire rod and contact wires positions it as a valuable addition to Acron's diverse capabilities.

Financially, Transcat reported revenues of approximately 200 million rubles in 2022, representing a decrease from previous years. The ownership structure involves Acron Industriya and Pavel Morozov, with the specific transaction amount undisclosed.

Dmitry Tsibizov, President of DSTS Holding, views the acquisition as a strategically sound move for Acron. The company's control over the full production cycle ensures that added value remains within the group, enhancing resilience to external factors. Despite potential short-term challenges, the acquisition is considered logical and favorable from a long-term perspective.

This strategic move by Acron Holding exemplifies its commitment to a comprehensive development strategy, securing assets that contribute to its production capabilities and overall resilience within the industrial and metallurgical sectors.

    Subscribe to the most timely news about the metals market

    Metals Wire's weekly digest for mining and processing industry professionals, investors, analysts, journalists.
    By signing up you agree to the Metals Wire
    Privacy Statement