Can you briefly introduce your group and its internationalization?
The M7 Group is an industrial group that brings together several entities, including Metal 7, Enduride, and MegaTraction, as well as various international subsidiaries. We are present in India with Metal 7 NBA, in Chile with Megatraction Chile Equipment, in the United States through M7US Inc., and in Australia with M7 Australia.
The M7 group reached a major turning point in 2015 with its acquisition by major Quebec-based investment funds. This operation launched a sustained external growth strategy: Enduride was acquired in 2017, followed by Megatraction in 2018. In 2021, the group also acquired Cast7 in the United States, before divesting it in 2025.
Can you describe a decision that was decisive in the international development of the M7 Group?
One of the most structuring decisions dates back to the early days of our expansion. We specialize in manufacturing equipment for iron ore processing plants. Very early on, we made the strategic decision to turn to foreign markets-particularly the Middle East and India, which remain at the core of our growth today.
From the early 2000s, we positioned ourselves as one of the first players in our sector to develop business relationships in these regions. The Canadian market was unstable and highly dependent on fluctuations in iron ore prices, while the Middle East and India offered strong growth potential and more sustained prospects.
This international shift proved decisive: today, around 70% of the equipment produced by the group is exported. This strong international presence also brings challenges in terms of logistics, transportation, coordination with international clients, currency management, and regulatory compliance.
What difficulties have you encountered in your international development?
A notable example concerns Megatraction, which specializes in industrial lifting solutions for the mining sector. In 2022, the company identified a major opportunity in Chile, with a significant contract at stake.
However, the tender process imposed a major constraint: only companies with a local legal entity could bid, due to the Chilean government’s involvement in the client’s structure.
To overcome this obstacle, the Metal7 Group had to quickly adapt its strategy by creating a subsidiary in Chile. This process involved a series of complex procedures: incorporating the entity, appointing local representatives, transferring equipment, and ensuring compliance with local requirements.
The entire process took several months, nearly a year, and heavily mobilized internal teams on administrative and legal matters. Despite these constraints, the effort paid off: Megatraction ultimately won the contract, which spans five years and represents several million dollars.
Have you experienced any developments that resulted in failure?
Our presence in Australia is one such example. In the 2010s, the group opened a subsidiary (Metal 7 Australia) initially as part of an acquisition project that ultimately did not materialize. The entity was then repurposed to support the development of Megatraction in the Australian market.
A market study had identified potential in the local mining sector, leading the company to deploy equipment there. However, the expected results did not materialize: the activity did not generate the anticipated revenue, and the market proved less suitable than expected. The group is currently in the process of withdrawing, with the gradual repatriation of equipment.
This experience has been an important learning opportunity. It highlighted the limitations of the initial market analysis. In hindsight, we believe a more in-depth study would have been necessary, particularly regarding the technical characteristics of equipment used locally.
This lesson now translates into stricter requirements when evaluating any new market, with particular attention paid to detailed customer needs analysis and the technical compatibility of our equipment.
How does the M7 Group concretely manage geopolitical risks in its international development?
Managing geopolitical risks is a constant challenge for us, given the diversity and instability of the markets in which we operate. International tensions, economic sanctions, and political instability have a direct impact on our activities, particularly in regions such as Latin America and the Middle East.
The proximity of some clients to sanctioned countries, such as Venezuela, requires particular vigilance in managing business relationships and payments. The war between Russia and Ukraine has also led to the suspension of certain contracts in Russia. Ukraine, which was previously a developing market for us, is now heavily impacted.
Operationally, these risks lead to continuous adjustments: logistical delays, changes in transportation routes, and increased exchanges with clients and partners, particularly shipping brokers. We continuously strengthen our internal processes: contract analysis, client risk management, payment security, and coordination between teams.
What changes must SMEs and mid-sized companies adopt to adapt to the new international landscape?
One of the major challenges today clearly lies in diversification, both in terms of markets and products.
Companies can no longer afford to be overly dependent on a single market. We have seen this recently with the United States: although it is a key economic partner, developments such as tariffs have significantly impacted companies that are highly dependent on this market. On our side, being present in several regions of the world has helped us mitigate these effects, we have avoided having to make difficult decisions such as closures or significant price increases.
This strategy also involves innovation. At our company, we place strong emphasis on developing new products. We constantly strive to offer solutions that meet customer needs in order to gain market share and continue diversifying.
What skills will become essential for succeeding internationally?
One of the key skills is the ability to be present in the field. Today, clients expect more than just a remote business relationship, they want local contacts who can truly understand their challenges.
Our role is no longer limited to selling a product; it is about building a genuine collaborative relationship, working with the client to understand their challenges and provide tailored solutions. The objective is to create long-term value.
In your opinion, which model will be favored in the future for international development?
There is no single model that fits all. It will primarily depend on each company, its needs, and its strategy. In our case, in the short term, the most effective lever remains the development of partnerships, particularly with local companies, for example in India, in order to be closer to the market.
This allows us to accelerate the availability of our products and better meet our customers’ needs locally. These partnerships offer faster expansion without necessarily going through acquisitions. Acquiring companies remains an option, but today we are placing greater emphasis on organic growth supported by local collaborations.
In your view, what role should a partner like Altios play in supporting international acceleration?
Today, we rely heavily on Altios to support our international development, particularly in managing human resources abroad. Concretely, they help us recruit and onboard employees in different countries.
For example, we recently hired someone in Mexico, and Altios supported us throughout the onboarding process as well as payroll management. They also play a key role in managing some of our subsidiaries, whether in Australia, the United States, or Peru. Overall, their added value lies in supporting us in all operational aspects related to our international presence, allowing us to focus more on our core business.
If you had three pieces of advice for an SME leader looking to accelerate internationally, what would they be?
First, it is essential to surround yourself with the right people. International operations are far more complex than domestic ones, whether in terms of regulations, logistics, or transaction management. It is crucial to rely on strong partners who can provide guidance, support the process, and validate each stage of development.
Second, do not be afraid to take the leap. International expansion may seem complex, but it is also a tremendous growth opportunity. Entering new markets opens up new perspectives and allows a company to evolve rapidly. Despite the challenges, it is clearly worth it.
Finally, it is essential to have a real presence in the targeted markets. You cannot wait for opportunities to come to you: you need to maintain relationships, engage directly with clients, and commit over the long term.
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