Linamar completes $300 million acquisition of Aludyne North America assets

GUELPH, Ontario - Linamar Corporation (TSX:LNR) has completed its acquisition of select Aludyne North America assets for $300 million USD, the company announced Saturday. The transaction comes as Linamar's stock trades near its 52-week high of $56.49, having gained over 30% year-to-date according to InvestingPro data.

The transaction, initially announced on October 9, adds aluminum casting, precision machining, and product design capabilities to Linamar's existing Structures and Chassis business. The acquired portfolio includes automotive components such as knuckles, subframes, control arms, and axle housings. This strategic move appears well-supported by Linamar's financial position, with InvestingPro analysis showing the company operates with a moderate debt level and maintains a healthy current ratio of 1.84.

The Aludyne North America facilities will be integrated into the Linamar Structures Group within the company's Mobility Segment. Linamar stated it has developed a business plan to ensure continuity for customers during the transition.

"Working closely with our valued customer base, Linamar has developed a long-term, sustainable business plan that ensures continuity and growth," the company said in a press release statement.

The acquisition aligns with Linamar's strategic focus on propulsion-agnostic structural components, which are compatible with various vehicle propulsion systems.

Linamar indicated that integration activities will begin immediately to implement business optimization plans and enhance customer support.

Linamar Corporation operates 75 manufacturing locations across 19 countries, with over 34,000 employees globally. The company reported sales exceeding $10.5 billion in 2024 across its diverse manufacturing segments, which include mobility, agricultural equipment, and access businesses.

In other recent news, Linamar Corporation announced its third-quarter earnings for 2025, reporting earnings per share (EPS) of $2.51, which surpassed analyst expectations of $2.38. The company reported revenues of $2.5 billion, slightly below the projected $2.53 billion. Despite the revenue miss, Linamar's performance was supported by strong results in its Mobility segment, although its Industrial segment faced a downturn. These developments have drawn attention from investors and analysts alike. The company's stock experienced a modest rise following the announcement. These recent earnings results highlight Linamar's ongoing efforts to navigate challenges within different segments of its business.

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