At the end of July, Fives (Paris, France) completed its acquisition of MAG Americas, including MAG brands Cincinnati, Giddings & Lewis, and Forest-Liné. The acquisition of these brands is aligned with Fives’ strategic plan to further establish itself in sectors such as aerospace, mining and renewable energy. The technological expertise gained through the acquisition—including composites technology—will aid in this goal, according to Frederic Sanchez, president of Fives’ executive board.
“Acquiring MAG Americas fits well with the growth strategy of Fives,” said Mr. Sanchez. “It allows us, on one hand, to acquire a leading position in the technology of composite materials, which is anticipated to have a bright future in many industrial sectors. Secondly, it enables us to achieve our global ambition to design and manufacture key production equipment and machines for leading industrial sectors such as aerospace, heavy equipment, and energy.”
Approximately 1,000 MAG Americas employees located in the United States, France, Canada, China, Korea and Russia will join Fives’ more than 6,000 employees in 30 countries.
Simultaneous with the machine tool business acquisition, the non-machinery units of the former MAG have developed 5ME, a company offering processing expertise, hardware, software and value-added services. Lead by President Bill Horwarth and staffed by other employees from MAG’s tooling, services and software businesses, 5ME focuses on increasing customers’ manufacturing efficiency as a means of building profitable, competitive and sustainable businesses. Management operations are located in Cincinnati, Ohio, and Detroit, Michigan. Detroit is also home to 5ME’s new 40,000-square-foot technology center.
The 5ME name references the five “Ms” the organization uses—man, material, machines, methods and metrics—to improve a manufacturer’s efficiency (the “E”). "[5ME] is a comprehensive, analytical approach to manufacturing that results in higher productivity, improved quality and lower working capital," said Pete Tecos, vice president for marketing and product strategy. “We are brand and process agnostic, and therefore able to work with all types of machinery and manufacturing systems. This gives us the independence to render our best solution and work freely with different system suppliers upstream, as well as end users downstream," Mr. Tecos stated.