SALTILLO, Mexico--(BUSINESS WIRE)--Grupo Industrial Saltillo, S.A.B. de C.V. (BMV: GISSA) (“the Company”, “GIS®”, “GISSA”, “the Group” or “the Issuer”) a Mexican multinational industrial conglomerate serving the automotive market, with a strong presence in the construction and housewares sectors, today announced the consolidation of the three auto parts businesses, CIFUNSA, ACE and INFUN, into one unit named Draxton® with the logo visible on this press release.
Effective today, Draxton® will be the name of the new consolidated unit and the brand name for all of the unit’s products. Draxton®, along with our joint ventures, will serve more than 50 customers in the automotive industry in 6 countries that represent the main markets for the sector. The capacity of the GIS® Auto Parts Sector will exceed 550k tons of iron casting, 10k tons of aluminum casting and 15 million machined parts to supply global platforms.
Jose Manuel Arana, Chief Executive Officer of GIS, stated, “The formation of Draxton® marks the culmination of a key stage in our globalization strategy. By unifying our original auto parts business, CIFUNSA®, with two recent acquisitions ACE® and INFUN®, we expanded our presence to Europe and Asia. In Draxton®, we are capitalizing on synergies, implementing shared best practices, and creating a new global brand in the automotive industry. For GIS®, this will be our core business that today generates 70% of the Group’s revenues.”
Draxton® and GIS® JVs will continue to be led by Jorge Rada, Global Director since 2016, who has more than 25 years of experience in the automotive industry. This division consists of more than 4 thousand employees, 14 plants and 3 world-class Research & Development centers known globally as Draxton 4 Competitiveness (DC4).
Arana added, “We feel very proud to achieve the integration of our auto parts businesses into Draxton®. This new identity will show the strength, capabilities and global presence of our business to our customers. The integration of our talented, multicultural team under one unified identity will allow Draxton® to emerge as a global player in the auto industry.”
GIS will begin reporting the results of Draxton®, which will reflect the consolidated results of the former CIFUNSA®, ACE® and INFUN®, as well as continue reporting by geographic region, NAFTA and Europe + Asia. For more information on Draxton®, please visit: www.draxton.com
Management will host a conference call to discuss the launching of Draxton® on April 10, 2018 at 10am Central Time / 11am Eastern Time. To participate in the call, please dial: 001-800-514-6145 Toll Free Mexico, 1-877-888-4312 from within the U.S. and +1-785-424-1876 from outside the U.S. Passcode: GIS
A replay will be available following the conclusion of the call for 7 days by dialing: 1-844-488-7474 from within the U.S. and +1-862-902-0129 from outside the U.S.; Access Code 87315629.
About Grupo Industrial Saltillo
Grupo Industrial Saltillo manufactures and commercializes auto-parts (iron or aluminum foundry and machining), Construction (water heaters, pipe fittings, ceramic and porcelain coverings) and Houseware (tableware and kitchenware products) Sectors.
Grupo Industrial Saltillo brings together the talent of 8,000 employees in 25 production units, with operations in Mexico, Spain, the Czech Republic, Poland, Italy, and China; as well as market and distribution presence in the USA.
This release may contain certain statements and forward looking information about Grupo Industrial Saltillo S.A.B. de C.V. and its subsidiaries (collectively, the "Company") which are subject to risks and uncertainties that may cause the results of the Company to differ materially from the current management´s expectations. These risks and uncertainties include, without limitation: the development of new products and their commercialization, demand and acceptance of the Company´s products, products and prices of the competitors, economic conditions in the markets and geographic regions of the Company´s products, as well as foreign currency fluctuations.
For additional information visit www.gis.com.mx.