[Curitiba and Stockholm, 28 May 2020] - Following the conclusion of a comprehensive six-month trial, WHB Automotive, a leading independent automotive components supplier in Brazil, has exercised a purchase option to acquire the SinterCast System 4000 process control equipment. The acquisition provides WHB with independent capability for full series production of Compacted Graphite Iron (CGI). Throughout the trial, WHB has produced and delivered product development components ranging from 20 kg to 235 kg, resulting in the establishment of a robust series production process for the production of CGI in conformance with the international ISO 16112 standard for Compacted Graphite Iron.
"Over the past six months, we have taken the opportunity of the extended trial to establish a robust and efficient CGI production process; to deliver high-quality CGI castings to our current customers; and, to engage the global passenger vehicle and commercial vehicle OEMs in discussion about our new CGI capabilities" stated WHB Automotive's Executive Board of Directors. "Despite that our trial spanned into the difficult COVID-19 period, we have taken this strategic decision to exercise the purchase option and to establish independent Compacted Graphite Iron series production capability. The trend toward improved fuel efficiency and reduced emissions is irreversible. We regard CGI as a key enabler of this trend and we have now positioned ourselves to support and supply the growing market demand."
"The commissioning at WHB in November 2019 marked the first installation of our System 4000 fourth generation process control technology that we launched at the GIFA World Foundry Trade Fair in 2019. We are pleased that the successful trial and positive OEM feedback has resulted in the purchase option and we look forward to supporting CGI series production at WHB" said Dr. Steve Dawson, President & CEO of SinterCast. "Together with the System 4000 installations planned for the First Automotive Works foundry in China and at the Scania foundry in Sweden during the second half of 2020, the WHB purchase option provides the opportunity for SinterCast to post a second consecutive year with record installation revenue, surpassing the SEK 11.9 million established in 2019."
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