Brazilian multinational company WEG SA, founded in 1961 and headquartered in Jaragua do Sul, north of Santa Catarina, announced this Monday (1st) another million dollar deal to buy Motion Control from Gefran SpA (Gefran).

The acquisition cost is estimated at 23 million euros – Photo: WEG/Disclosure

Italian company manufacturing sensors, components and equipment for industrial automation with factories in Italy, Germany, China and India. The acquisition cost is estimated at 23 million euros (about 122 million reais).

In the agreement, WEG will become the sole owner of the Motion Control business, which includes the full design and manufacture of a complete line of frequency converters, DC-DC converters and special servo applications.

WEG will bring together a team of 180 employees from factories in Italy, Germany, China and India. The Motion Control division has customers and operations in more than 70 countries and net revenues of €44.8 million in 2021.

Founded in 1960 and listed on the Italian Stock Exchange (Borsa Italiana: GE), Gefran is a traditional manufacturer of industrial automation and innovation, divided into three business divisions: Motion Control, Automation Components and Sensors.

According to Manfred Peter Johann, Managing Director of WEG Automação, this acquisition will position WEG in a strategic market. “Our goal is to offer an ever wider portfolio of products and solutions, to increase our presence in such an important market as the European market, now with local production, and thus accelerate our growth process abroad as part of our movement strategy” , the official explains.

The transaction is subject to certain conditions and the approval of European regulatory authorities.

WEG will be part of a team of 180 employees working in factories in Italy, Germany, China and India. Photo: WEG/Disclosure ND

VEG

Initially manufacturing electric motors, WEG has expanded since the 1980s into electronic components, industrial automation products, power and distribution transformers, liquid and powder paints and electrical insulating varnishes.

The company has established itself not only as a manufacturer of motors, but also as a supplier of complete industrial electrical systems.