Manuli Rubber Industries (MRI), headquartered in Milan, just announced it has acquired a majority shareholder position in RYCO Hydraulics Pty Ltd (RYCO), headquartered in Melbourne. MRI will merge its Manuli Hydraulics and Fluiconnecto divisions with RYCO to create a hydraulics company with a wider range of products and a global network of services and supplies for customers of both companies.
The combined business will have sales approaching €500 million ($820 million Australian) and be a global leader in the hydraulic hose and fittings industry servicing a broad range of market sectors. MRI, founded in 1935, and RYCO founded in 1946, together have more than 4,500 employees.
“This transaction captures the full benefit of combining complementary product ranges, engineering and innovation capabilities, a strategically located manufacturing footprint and a truly global market reach,” says MRI Chief Executive Officer Dardanio Manuli. “We are excited about the potential benefits and growth opportunities that will result from the best of what MRI and RYCO bring to the market.”
“Both MRI and RYCO are family owned and run private companies with similar cultures and a shared commitment to remaining agile, responsive and customer-focused,” says RYCO Chief Executive Officer Leigh Morrison “This merger creates benefits greater than either company could achieve alone.”
MRI operates through two divisions: Manuli Hydraulics (design and manufacture) and Fluiconnecto (distribution and service). The Manuli, Fluiconnecto and RYCO brands will be retained, and each company will continue to operate through existing channels to market, with the ability to access both product and distribution capabilities.
Leigh Morrison will continue in his role as RYCO CEO and be invited to join the MRI board. A new RYCO board has been constituted with MRI representation.