Three new acquisitions announced by the Kingspan Group in December 2017 are expected to substantially increase the turnover of the organisation. The insulation giant, which spent more than €630m on ten new acquisitions in 2017, is expecting to turn over around €750m annually from these acquisitions alone.
The proposed full acquisition of the Spanish group Synthesia – the largest of the three – will give Kingspan Insulation a leadership position in insulation boards on the Iberian Peninsula while also helping them break into emerging markets in Central and South America. This acquisition, which is expected to clear in the first quarter of this year, will see Kingspan take control of Synthesia’s eight manufacturing facilities across Northern Spain and Panama, along with an estimated 575 employees, giving the company a strong boost in the region.
The acquisition of Polish based manufacturer of insulated panels and insulation boards, Balex Metal is also expected to clear in the first quarter. Operating across three manufacturing sites, Balex will contribute more than €160m revenue per annum to Kingspan’s overall income.
Brakel Group, a Dutch based company with manufacturing sites across Netherlands, Belgium and Slovakia, will be the third company to join Kingspan Group. A market leader in glass daylight structures, associated ventilation and fire safety solutions, the company’s projected annual revenue of approximately €68m will be added to the Kingspan bottom line once the acquisition is completed.
Kingspan Group CEO Gene Murtagh observes that the latest three acquisitions mark a signiﬁcant strategic step forward for Kingspan. These companies are not only a perfect ﬁt for Kingspan’s existing businesses and geographic footprint, but also provide a technology platform that will complement their ongoing innovation pipeline and the development of next generation insulation, he added.