November 25 (SeeNews) - Swiss producer of speciality chemicals for construction and industry Sika said on Monday it has agreed to buy Romanian mortars and thermal insulation solutions manufacturer Adeplast for an undisclosed sum.
The acquisition will significantly strengthen Sika’s position in the local construction chemicals market and extend its manufacturing footprint, the company said in a press release.
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The transaction is pending clearance by anti-trust authorities.
"Adeplast is a proven industry leader and will considerably strengthen the presence of our Target Market Building Finishing in the growing Romanian market. The improved access to the distribution channel will offer exciting cross-selling opportunities, increase our market penetration, and drive the continued growth of both companies," Sika EMEA regional manager Ivo Schadler said.
The strategically located facilities of Adeplast will enable Sika to realize efficiency gains in logistics and warehousing as well as to further enhance its ability to serve customers with fast supply and excellent product availability.
According to Sika, Adeplast generates annual sales of 120 million Swiss francs ($121 million/120 million euro) and employs 460.
With the acquisition, Sika Romania will strengthen its product portfolio for the Target Market Building Finishing and gain access to Adeplast’s large, well-established network of distributors.
"Adeplast was the life’s work of our father, Marcel Barbut, and is a Romanian success story. We are convinced that Sika will continue this story and take the company even further, as part of one of the leading groups in Europe in our industry," Adeplast owners representative, Alexander Barbut, said.
Adeplast is headquartered in Ploiești, 70 km north of Bucharest, and produces a wide range of building mortars as well as thermal insulation for building envelope solutions. It operates four production plants which provide a nationwide coverage of Romania and offers also the potential to serve neighbouring countries.
In July, Romania's competition authority approved the takeover of local waterproofing systems manufacturer Arcon Membrane by Sika Romania. The transaction was announced at end-2018.
Sika is a specialty chemicals company with active in the development and production of systems and products for bonding, sealing, damping, reinforcing, and protecting in the building sector and motor vehicle industry. Sika has subsidiaries in 101 countries around the world and manufactures in over 300 factories, where it employs more than 24,000 people. For fiscal year 2019, Sika is forecasting sales of over 8 billion Swiss francs.
(1 Swiss franc = 0.9096 euro)