The Belgian manufacturer of aluminium profiles Viohalco – the owner of Etem Bulgaria – decided to separate its Bulgarian business into two new ventures and launch a €30 million investment programme. Etem Bulgaria will now be separated into a subsidiary specialised in the production of extruded aluminium profiles, and another subsidiary focusing on their processing activities.
The two new companies will enter into an investment agreement with Spanish car parts maker Gestamp – a global group specialising in the design, development and production of metal components and systems for the automotive industry. The three-year long €30 million investment programme will focus on the installation of new equipment for additional aluminium profiles processing in Bulgaria.
The company said in a statement:
“The agreement will strengthen the position of Etem Bulgaria in the automotive sector and will prove that the company can successfully meet the increased demand for aluminium products following the new developments of the automotive industry.”
The agreement is subject to competition clearance approvals from the European and Turkish competition authorities.
Founded in 1971, ETEM is the first integrated designer and producer of architectural systems and aluminium profiles for industrial applications in Greece. The production facility in Bulgaria has an annual capacity that exceeds 35,000 tonnes per year.
Viohalco is a Belgian holding company that specialises in the production of aluminium, copper, and steel pipes. With production facilities in Greece, Bulgaria, Romania, Russia, Australia, Macedonia, Turkey, the United Kingdom and the Netherlands, Viohalco’s companies together generate an annual revenue of € 3.7 billion.