January 17 (SeeNews) - Turkey's Arcelik wholly-owned subsidiary Ardutch B.V. said on Tuesday that it has signed a definitive agreement with Whirlpool Corporation’s Whirlpool EMEA Holdings to create a new standalone business in the European home appliances sector, including on the Romanian market.
The agreement includes Arcelik’s two production facilities in Romania and 25 European subsidiaries, as well as Whirlpool’s 38 European subsidiaries and nine production sites located in Italy, Poland, Slovakia and the UK, Arcelik said in a press release.
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The new business is expected to have more than 20,000 employees across multiple European countries and a production capacity of approximately 24 million white good products per year.
The transaction is expected to close in the second half of 2023.
The agreement will see both Ardutch and Whirlpool transfer their European subsidiaries to the new company. After these transfers, it is expected that 75% of the newly formed company will be allocated to Ardutch B.V. and 25% to Whirlpool. The final post-closing ownership ratio will be determined after taking into account respective 2022 EBITDA, net asset values, net indebtedness and net working capital of the parties.
The combined net revenue of the two subsidiaries is approximately 6 billion euro ($6.5 billion), based on the net sales of the companies’ European operations in 2021.
Arcelik acquired Romanian household appliance manufacturer Arctiv in 2022. The company currently operates a washing machine plant in Ulmi and and a refrigerator factory in Gaesti, totalling more than 4,000 staff.
($=0.9243 euro)