Aalberts Industries strengthens system portfolio and market position Climate Control
Aalberts Industries N.V. has reached an agreement to acquire 100% of the shares of Flamco Holding B.V. and its subsidiaries (“Flamco”), with head office in Bunschoten, the Netherlands. Flamco generates annual revenues of approximately EUR 125 million with 700 employees. The acquisition will be effected after all formalities and approvals are realised, this is expected to be in July 2014.
Flamco has a strong brand name and is an important manufacturer of expansion vessels, accessories and fixing technology. Flamco has production locations in Germany, the Netherlands, United Kingdom and China and sales and distribution offices in several countries in (Eastern) Europe. The products of Flamco are used in heating and cooling installations for residential and (commercial) buildings. A market where Aalberts Industries already has a good position in Europe and North America. Flamco and Aalberts Industries will be able to offer a more complete system portfolio to project developers, installers and wholesalers and therefore realise a stronger market position.
Through this acquisition Aalberts Industries will have many opportunities for growth in Climate Control. In West European countries Flamco and Aalberts Industries can optimise cooperation by using the existing sales and distribution networks. In Eastern Europe, Russia, China and North America Flamco can use the strong market position of Aalberts Industries already in place. Also the OEM market offers a good opportunity for growth, especially in Germany. In this market, specific systems are developed with often new technologies which in a later stage can also be used in project specifications for heating and cooling installations for buildings. Improvements in production efficiency can be realised through exchange of technologies between the locations of Flamco and Aalberts Industries. The management team of Flamco will work closely together with Aalberts Industries to implement the many opportunities
The results of Flamco will be consolidated effective 1 July 2014 and will contribute directly to the earnings per share. The acquisition will be financed from credit facilities.
More information on Flamco can be found at: www.flamcogroup.com