WashTec AG — M&A Activity 2010

Oct 4, 2010

News Details

Corporate | 4 October 2010 10:07

WashTec AG: WashTec acquires major assets of carwash chemicals manufacturer in the Nordics

WashTec AG / Key word(s): Miscellaneous

04.10.2010 / 10:07

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Press release

WashTec acquires major assets of carwash chemicals manufacturer in the Nordics

Augsburg, October 4, 2010 – WashTec AG, the leading supplier of innovative solutions for the carwash business worldwide and Flügger Group, the leading Nordic producer of high quality paints, wallpapers and Adekema-branded carwash chemicals, today agreed on a strategic cooperation for the Nordic carwash chemicals market.

Flügger’s carwash chemicals business unit Adekema has a leading position in the important Nordic market, where special chemicals are required to cater for the needs of carwash operators. Adekema is serving the market with an own sales force and a broad product portfolio specifically designed for the Nordics. As part of the strategic cooperation, WashTec is acquiring the major assets of the sales and product development units of Adekema and exclusive rights for distribution of Adekema’s carwash chemicals effective as of January 1, 2011. In addition, the parties have agreed on a 5-year strategic cooperation in order to leverage the synergies arising from the chemicals- and production-know how of Flügger with its production in Sweden and its well developed distribution system.

Houman Khorram, CFO of WashTec AG: ‘This step puts WashTec in a leading position in the Nordic carwash chemicals market. Flügger Group is an experienced partner with excellent know how and capacities in the Nordics. The cooperation will allow WashTec to achieve synergies while ensuring to supply the best available carwash chemicals to its customers. The acquisition of Adekema is an important strategic step in order to gain a larger share in this important market.’

‘Flügger and WashTec will both benefit from this cooperation in the Nordics. Flügger’s strength in special chemicals know-how and WashTec’s extensive knowledge and experience in the carwash business is an ideal combination to further grow the carwash chemicals business in the Nordics’ Flügger Group’s CEO, Søren P. Olesen, points out.

The acquired business at a price of roughly 20m Swedish Kronor will lead to a positive profit contribution for WashTec already in 2011.

The WashTec Group, with its headquarters in Augsburg, Germany, is the leading supplier of innovative solutions for the carwash business worldwide. WashTec employs more than 1,500 people around the world and has its own subsidiaries in the European core markets, the US and Canada as well as in China and Australia. Furthermore, WashTec is represented in around 60 countries by independent sales partners.

The Flügger Group produces and sells high quality paint, wall paper and tools as well as carwash chemicals. Flügger Group employs more than 1,400 people in Nordic and European countries and owns 272 shops in Denmark, Norway, Sweden, Island, Poland and the Czech Republic. Approximately 600 Flügger branded shops exist worldwide.

Contact:

WashTec AG

Argonstrasse 7

86153 Augsburg

Tel.: +49 (0)821 – 55 84 – 0

Fax: +49 (0)821 – 55 84 – 1135

End of Corporate News

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Language:	English
Company:	WashTec AG
	Argonstraße 7
	86153 Augsburg
	Germany
Phone:	+49 (0)821 55 84-0
Fax:	+49 (0)821 55 84-1135
E-mail:	washtec@washtec.de
Internet:	www.washtec.de
ISIN:	DE0007507501
WKN:	750750
Listed:	Regulierter Markt in Frankfurt (Prime Standard); Freiverkehr in Berlin, Düsseldorf, München, Stuttgart

End of News	DGAP News-Service

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99847  04.10.2010