The Ontario Teachers’ Pension Plan, owner of wire ropes major Bridon, and Bekaert, also a leader in wire ropes and coating technologies, have announced a merger of their global ropes and advanced cords businesses in the new company Bridon Bekaert Ropes Group, a new joint venture in which Bekaert will hold a majority 67% stake. The new group will combine the ropes and advanced cords capabilities of almost 3,000 employees, 19 manufacturing entities across 11 countries, market-focused R&D, and a global sales and service network. The definitive merger agreement is subject to customary closing conditions including regulatory approvals and is expected to complete in the first half of 2016. Until closing, both businesses will operate separately and continue to serve their customers autonomously.

Bruno Humblet, currently Chief Financial Officer of Bekaert, has been appointed CEO of Bridon Bekaert Ropes Group. Andrew Caffyn, currently Non-Executive Chairman of Bridon, has been appointed Chairman of the Board. The intended combination “will leverage the scale and complementary strengths of Bekaert and Bridon and will pursue value creation for customers and for the new group.” Bekaert is contributing its advanced cords business and a well-established ropes presence in Latin America, Canada and Australia. Bridon holds strong positions in Europe and the US with a portfolio of rope wire, strand and steel and synthetic ropes. The merger will also create opportunities for further growth in Asia. The combined business will account for approximately €600 million in sales on an annual basis.

Bridon mining rope markets include hoist and balance ropes, dragline drag and hoist ropes, rope driven conveyors, shovel hoists and haulage ropes. Bekaert also has a high performance wire rope portfolio for both the underground and surface mining markets, as well asDramix® reinforcement steel fibre for shotcrete applications in tunnels and other underground structures.