GRIMSBY, Ontario—Cimcorp Group has opened a new office on the Iberian Peninsula—subsidiary Cimcorp Iberia S.L.—in Madrid, to better serve the Spanish and Portuguese grocery and tire industries.
Cimcorp said the Madrid expansion comes in response to an increased demand for automated systems in the Spanish market. Cimcorp has worked with supermarket chains Mercadona and Eroski, as well as several tire manufacturers in Spain, including Michelin, according to the company.
Cimcorp tapped Jarkko Hakkarainen to be general manager of Cimcorp Iberia.
"Our decision to expand our presence into Spain was a logical step at this point and supports our growth strategy," said Tero Peltomaki, Cimcorp executive vice president for operations and technology. "We have a well-established customer base in Spain and our material handling systems are in high demand there."
According to Cimcorp, the company, in spring 2019, secured an order worth more than $130 million to automate the distribution of fresh food at four new distribution centers for the Spanish supermarket chain Mercadona.
Peltomaki said the order is Cimcorp's largest in the intra-logistics market.
"A local presence in Spain will enable Cimcorp to strengthen relationships with our existing customers, as well as to create new partnerships," he said, citing the central location of the Madrid office and "excellent transport connections."
As for the subsidiary's leadership, Peltomaki said Hakkarainen has more than 20 years of experience in international business, working in new technology development, sales and services.
Hakkarainen will take the reins at Cimcorp Iberia in May.
"I believe that open communication with all stakeholders—customers, partners and employees—is the key to success," he said. "We work with international business leaders and our employees are highly educated experts, so it is in our interest to listen and to learn, so that we can thrive together."