CORTLAND - A Cortland-based company that repairs and refurbishes rolling steel mills has been acquired by a German-based global manufacturing leader with other strong ties to the Mahoning Valley.
Siemens Industry Inc. announced the acquisition of Service Guide Inc., headquartered in Cortland with operations in Warren. Service Guide has provided repair and refurbishing services for steel and aluminum mills since 1964.
Under the agreement, Siemens will acquire three local operating facilities in Warren and Cortland. Financial details of the transaction are not being disclosed.
"Siemens' resources and access to worldwide markets are key components to growing the business and increasing its global footprint,'' Service Guide President Emeritus Grant Oakes said.
''We look forward to merging our long-term customer relationships and service expertise in the metals industry with the Siemens portfolio.''
Siemens is headed by Mahoning Valley native Eric Spiegel, president and CEO. Spiegel, a graduate of Poland Seminary High School, was instrumental in an unrelated major donation announced in May to Youngstown State University's STEM college. Siemens donated state-of-the-art product lifecycle management software and training to YSU's College of Science, Technology, Engineering and Mathematics.
At that time, Spiegel said he was proud to have his company bring its innovative software to the Valley.
"Youngstown, the steel industry and manufacturing here are really in my blood," he had said. He stressed the importance of closing the skills gap in advanced manufacturing in order to prepare for an impending industrial revolution.
Thursday, Eric Planey, vice president for international business attraction at the Youngstown-Warren Regional Chamber, praised the company's decision to increase its ties to the Mahoning Valley. Saying he doesn't believe they made the decisions together, still he believes it's indicative of Siemens' strong attitudes about growth in the area.
''To make that investment in Service Guide tells me that they are bullish about manufacturing in the Valley,'' Planey said.
Service Guide provides the steel industry with repair and refurbishing services, as well as the manufacture and sale of spare parts and components. Its customers are based in the United States, Canada and Mexico.
According to the statement released by Siemens, Service Guide Inc. will be fully integrated into the Metals Technologies Business Unit and Customer Services Division of the Siemens Industry Sector.
The plants will continue to operate at their current locations, and 110 Service Guide employees will now be a part of Siemens.
''The acquisition of Service Guide Inc. will continue to enhance Siemens'' capabilities, allowing us to provide a more complete spectrum of service products for our customers,'' said Gabriel Royo, vice president of metallurgical services for Siemens Industry. ''Combining these portfolios provides steel and aluminum mill customers with a single source for components and equipment services.''
The Siemens Industry Sector based in Erlangen, Germany, has been described as the world's leading supplier of products for industrial customers.
It has a global work force of more than 100,000.