Lower Middle-Market Niche Manufacturing
Manufacturer of high performance steel wire crane ropes.
Wireco WorldGroup (“WWG”) is a world leader in the manufacturing, engineering and distribution of wire rope, wire rope assemblies, high carbon wire, and electromechanical cable. With eleven manufacturing operations across North America, Germany, China and Mexico, WWG is the largest producer of wire rope and EM cable in the world. WWG is owned by Fox Paine & Company, LLC, a private equity firm based in San Francisco.
In the Spring of 2007, WRCA was exploring a potential acquisition of CASAR Drahtseilwerk Saar (“CASAR”), a manufacturer of wire rope based in Kirkel, Germany. CASAR develops, produces and distributes special wire ropes for cranes and other lifting devices. With production capacity of 18,000 tons and employing 380 people, CASAR is one of the leading wire rope manufacturers in Europe.
As an important first step in its due-diligence process, WWG asked Ameridan for assistance in better understanding the European market for wire rope and CASAR’s position within that market.
Ameridan assembled a project team that included market consultants based in London, Germany, France, and China. The project entailed a broad assessment of the European market and the target’s strategic and competitive position. It included: (1) an examination of the market’s perception of CASAR’s product and service capabilities; (2) an assessment of CASAR’s competitive position across main customer segments; and (3) a broad description of the European market for wire rope including estimates of size and market shares of major competitors.