Houlihan Lokey Advises Shinagawa Refractories

Houlihan Lokey is pleased to announce that, on March 19, 2025, Shinagawa Refractories Co., Ltd. (Shinagawa) entered into a definitive agreement to acquire 60% of the issued share capital of Reframax Engenharia Ltda. (Reframax) from its founding family.

Established in 1999 and headquartered in Belo Horizonte, Brazil, Reframax is a leading engineering and installation company specializing in refractory construction for steel, non-ferrous metals, chemicals and petrochemicals, and pulp and paper industries. The company also offers a wide range of services, including electrical and mechanical engineering, civil construction, industrial painting, and insulation. With a strong market presence in South America, Reframax operates from 21 locations across seven countries.

Headquartered in Tokyo and listed on the Tokyo Stock Exchange, Shinagawa is a global leader in refractory solutions for heavy industries, such as iron, steel, energy, and cement. Beyond refractory manufacturing and related engineering services, Shinagawa offers advanced materials, including ceramic fibers and fine ceramics, for a variety of end markets. Currently, Shinagawa is focused on accelerating global expansion through strategic M&A under its sixth mid-term management plan.

Through this acquisition, Shinagawa will gain a controlling stake in Reframax while Reframax’s existing management team will continue to lead the business, supported by a new board comprising representatives from Shinagawa and the founding family. This structure is designed to preserve Reframax’s market leadership and strong customer relationships in South America while facilitating the integration of Shinagawa’s advanced Japanese engineering expertise and operational know-how. This transaction significantly advances Shinagawa’s global engineering strategy, following its successful acquisition of Gouda Refractories in Europe and the Middle East.

Houlihan Lokey and Brasilpar served as financial advisors to Shinagawa, reinforcing Houlihan Lokey’s established advisory relationship with Shinagawa on significant acquisitions such as Saint-Gobain’s businesses in Brazil and the U.S., and Gouda Refractories Group.

The transaction further demonstrates Houlihan Lokey’s extensive expertise in the metals and engineered materials sector and its leading position in supporting Japanese corporates in their overseas expansion.

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