Portland-based Elmet to acquire assets of Bavarian manufacturer

The Elmet Group Co. (NASDAQ: ELMT), headquartered in Portland, said Monday it signed a definitive agreement under which its newly formed German subsidiary, Elmet Technologies GmbH, will acquire the assets of a Bavarian tungsten and molybdenum manufacturing operation. A definitive agreement is a legally binding contract that sets out terms and conditions between all parties. Elmet said the metal production operations of the company, ams OSRAM, will help the Maine company establish its first European manufacturing footprint for tungsten and molybdenum powder, rods, wire, electrodes, and machined components, with the expectation that its global production capabilities will expand. “We expect this acquisition to extend our vertically integrated tungsten and molybdenum platform into Europe, giving us a production base to serve customers there directly,” said Peter Anania, Elmet’s CEO and board chair. The acquisition “is a natural next step in our long-term growth strategy, and by establishing a local presence, we believe we can better serve the needs of European and U.K. customers with greater speed and reliability.” Further investment planned Terms of the deal were not disclosed. The closing is expected to take place in the first quarter of 2027, subject to regulatory approvals and following the completion of transition activities required to operate the Schwabmünchen facility on a standalone basis. Elmet plans to retain the Schwabmünchen leadership and operating team and invest in the site’s workforce, equipment base, capacity, quality control systems and commercial capabilities. The company intends to collaborate with local groups and the IG Metall, the largest industrial union in Germany, to develop the workforce. An expansion of the site’s range of materials will be supported by investment in infrastructure, equipment and facility upgrades. Critical materials Elmet provides precision-engineered components and advanced high-energy systems for the aerospace, defense and government, industrial, medical, semiconductor and electronics, and energy industries. It operates through two divisions, critical materials components and engineered microwave products. The critical materials components division includes manufacturing facilities in Maine, Ohio, Michigan and now Bavaria. Established in 1961, ams OSRAM is in the town of Schwabmünchen, in the German state of Bavaria. It serves a narrow customer base with more than 3,500 products, including metal powders, rods and pins, heavy and fine wire, cathodes and anodes, machined parts and powder injection molded components, together with chemical and physical analytics and materials engineering services. Its digital technology has been recognized by a 2024 Germany Smart Digitization Factory 4.0 award. The “4.0” designation is an industry term signifying manufacturers using digital tools such as automation and real-time data. Better service The transaction is a better way to serve evolving customer requirements in critical materials across a range of applications, the company said. For example, European defense contractors must meet supply chain requirements that increasingly can’t be satisfied by non-European Union or Asian sources. “From powder through finished component, the Schwabmünchen operations are expected to provide our defense, fusion, semiconductor, medical and industrial customers a European source for tungsten and molybdenum,” said Derek Fox, the division’s president. This is not the first time Elmet has looked abroad. In 2025, the company signed an agreement with Goslar, Germany-based Taniobis GmbH, a producer of two metal materials that work particularly well in aerospace and space exploration. In 2024, Elmet agreed to a collaboration with Australian tungsten supplier EQ Resources Ltd. (ASX: EQR)  with a goal to strengthen the Western industrial base and supply chain for the metal.