Start Tupy announces purchase of MWM Brasil for R$ 865 million and prepares to enter the energy sector in the manufacture of engines and other equipment

Tupy announces purchase of MWM Brasil for R$ 865 million and prepares to enter the energy sector in the manufacture of engines and other equipment

April 26, 2022 10:20 pm to 22:20
Follow us on Google News
After the million-dollar transaction for the acquisition of MWM Brasil, Tupy announced that it will unite the ideas of the companies to start a new focus on the national market, the manufacture of engines and other equipment aimed at the energy sector.
Photo: YouTube/Tupy Connections

After the million-dollar transaction for the acquisition of MWM Brasil, Tupy announced that it will unite the ideas of the companies to start a new focus on the national market, the manufacture of engines and other equipment aimed at the energy sector.

The multinational Tupy, focused on the manufacture of equipment for different segments of the international market, announced last Monday, (18/04), the acquisition of the company MWM Brasil, for a value of R$ 865 million. With the aim of changing its current focus and starting to invest in the energy sector, with the supply of engines and other equipment for projects in the national and international market.

MWM Brasil will become Tupy's, after completion of the transaction of R$ 865 million for the purchase of the company, with new directions on the way for the multinational 

This last week marked a great advance for the diversification of the production of equipment and engines of the multinational Tupy, which announced the purchase of MWM Brasil, a wholly owned subsidiary of Navistar International Corporation, in turn, a subsidiary of Traton SE, and will now to be part of the multinational's portfolio, which acquired the company for an initial value of R$ 865 million, susceptible to changes until the end of the transaction. 

Tupy commented that this was a strategy adopted to seek vertical growth for both companies, focusing both on adding value to products and on promoting viable solutions for decarbonization. Currently, MWM Brasil works in the manufacture of engines and equipment and operates in the segments of machining, assembly, calibration, technical validation and engineering services, being essential for the next phase of the multinational, which now aims to reach the energy sector with this manufacture. . 

MWM Brasil has announced in recent months some partnerships that serve the consumption of natural gas, biogas and the use of biomethane, meeting the needs of Brazilian agribusiness and, with that, Tupy saw an opportunity not only for vertical growth, but also to open doors to new segments. The companies are now awaiting the completion of the transaction process, as the amount of R$ 865 million will be paid by Tupy after closing, but the acquisition is still subject to approval by the Brazilian antitrust authority and has not been finalized between the companies. 

Purchase of MWM Brasil by the Brazilian multinational is part of the plan to enter the energy sector with the supply of equipment such as the engines of the companies

Tupy's main objective in carrying out the acquisition of MWM Brasil was its entry into the national and, mainly, international energy sector, with the objective of starting to supply electricity generating groups for agribusiness and other applications within the segment. Thus, the company announced that it has a fully trained team to adapt generators and commercial vehicles to the use of biogas, biomethane, biodiesel, natural gas and hydrogen, as a way of guaranteeing even more efficiency for its customers. 

Thus, José Eduardo Luzzi, CEO of MWM, stated that “The use of biogas and biomethane for electricity generation and as fuel for fleets of trucks, buses and agricultural tractors is the main route for the decarbonization of the national and protein exporting industry, dairy, sugar and ethanol. The production of biogas in the country is inherent to the size of Brazilian agribusiness. It will also be used, to a large extent, as fuel for the production of electricity on rural properties through electric generators developed and manufactured by MWM”.

MWM Brasil has more than 600 points of sale and about 300 accredited and trained workshops currently throughout the country and, now, will have the possibility to further expand its presence in the national market.

Related
Most recent