Harsco Buys Hammco to Tap New Market

Zacks

Industrial services and engineered products manufacturer Harsco Corporation (HSC) recently acquired an Oklahoma-based privately-held manufacturing firm Hammco Corporation for an undisclosed amount. The acquisition enables Harsco to tap into the process cooler market as well as strengthen its position in existing marketplace.

Since its inception in 1971, Hammco has maintained high quality standards for its products and services. It offers process coolers for the natural gas and petrochemical processing industries, which are a strategic fit for the Air-X-Changers business of Harsco.

Post-acquisition, Hammco will operate as a wholly-owned subsidiary of Harsco in its industrial segment and will be known as Harsco Industrial Hammco, LLC. With a complementary product portfolio, the acquisition will enable Harsco to offer a greater range of cooling solutions to its current and future customers.

Headquartered in Pennsylvania, Harsco serves global infrastructure, metals, minerals, rail, and industrial sectors. The company’s manufactured products occupy leading positions in specialized industrial markets. Harsco also provides industrial mill services, gas control, and containment products, scaffolding services, and railway maintenance services. The company operates in four segments: Harsco Metals and Minerals, Harsco Infrastructure, Harsco Rail, and Harsco Industrial.  

Harsco generates a major portion of its revenues from outside the U.S., which safeguards it from the risks associated with any one regional sector or economy. The company is now more focused on bringing its cost structure in tune with current market demand. Harsco is also emphasizing prudent working capital management for optimal organic and inorganic growth across all the verticals.

Harsco currently has a Zacks Rank #3 (Hold). Other players in the industry worth mentioning include Hudson Technologies Inc. (HDSN), Denison Mines Corp. (DNN) and General Moly, Inc. (GMO), each carrying a Zacks Rank #2 (Buy).

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