After a millionaire transaction for the acquisition of MWM Brasil, Tupy announced that it will unite the companies' ideals to start a new focus on the domestic market, the manufacture of engines and other equipment aimed at the energy sector.

The multinational Tupy, focused on the manufacture of equipment for various segments of the international market, announced last Monday (18/04), the acquisition of the company MWM Brasil, for an amount of R$ 865 million. With the objective of changing its current focus and starting to invest in the energy sector, with the supply of engines and other equipment for projects in the national and international market.

MWM Brasil will be owned by Tupy, after the completion of the R$ 865 million transaction for the purchase of the company, with new directions on the way for the multinational 

This past week marked a major breakthrough in the diversification of equipment and engine production by the multinational Tupy, which announced the purchase of MWM Brasil, a wholly-owned subsidiary of Navistar International Corporation, which in turn is a subsidiary of Traton SE, and will now become part of the portfolio of the multinational, which acquired the company for an initial amount of R$865 million, subject to change until the end of the transaction. 

Tupy commented that this was an assumed strategy to seek vertical growth for both companies, with a focus both on adding value to products and on promoting viable solutions for decarbonisation. Currently, MWM Brasil works in the manufacture of engines and equipment and operates in the segments of machining, assembly, calibration, technical validation and engineering services, being essential for the next phase of the multinational, which now aims to reach the energy sector with this manufacturing. 

In recent months, MWM Brasil announced some partnerships that serve the consumption of natural gas, biogas and the use of biomethane, meeting the needs of Brazilian agribusiness and, with that, Tupy saw an opportunity not only for vertical growth, but also to open doors to new segments. Now, the companies await the finalization of the transaction process, since the amount of R$ 865 million will be paid by Tupy after the closing, but the acquisition will still be submitted to the approval of the Brazilian antitrust authority and was not finalized between the companies. 

Purchase of MWM Brasil by the Brazilian multinational is part of the plan to enter the energy sector with the supply of equipment such as the companies' engines

Tupy's main objective in carrying out the acquisition of MWM Brasil was its entry into the national and, mainly, international energy sector, with the objective of starting to supply electricity generator sets for agribusiness and other applications within the segment. Thus, the company announced that it has a fully qualified team to adapt generators and commercial vehicles to the use of biogas, biomethane, biodiesel, natural gas and hydrogen, as a way to ensure even more efficiency for its customers. 

Thus, José Eduardo Luzzi, CEO of MWM, stated that “The use of biogas and biomethane to generate electricity and as fuel for fleets of trucks, buses and agricultural tractors is the main route for the decarbonization of the national industry and exporter of proteins, dairy products, sugar and ethanol. Biogas production in the country is inherent to the size of Brazilian agribusiness. It will also be used, to a large extent, as fuel for the production of electricity in rural properties through electric generators developed and manufactured by MWM”.

MWM Brasil currently has more than 600 points of sale and around 300 accredited and trained workshops throughout the country, and now it will have the opportunity to further expand its presence in the domestic market.