acquisition Elkhart Products Corporation (EPC) in America
- acquisition Elkhart Products Corporation (USA)
- top position in the market for copper fittings
- 430 employees, annual revenue approximately USD 130 million
Aalberts creates strong position in North America
Aalberts Industries has reached agreement on the takeover of certain Flow Control activities of American listed company Amcast Industrial Corporation. This puts Aalberts Industries in the top position in the world market for copper fittings. The closing of the takeover is subject to conditions typical in a transaction of this nature, including the termination of the notice period required by American antitrust laws. The subject of the takeover, Elkhart Products Corporation, with its head office in Elkhart, Indiana, includes three production facilities in the USA and an extensive sales network in the USA and Canada.
With an expected turnover of around USD 130 (EUR 110) million and a workforce of circa 430 employees, Elkhart Products Corporation (EPC), is one of the three biggest players in the North American market. EPC concentrates on the wholesaler market, where it has an estimated market share of 35%. EPC’s 10% share of the retail market makes it the third largest retail supplier.
The takeover gives Aalberts Industries a strong base in the American market upon which to build in the years ahead. It also adds substantial, geographically well-distributed turnover to Flow Control activities as a whole.
The structure of the American market gives Aalberts Industries enormous potential for expanding its Flow Control activities through organic growth. In the short term, the introduction of new types of fittings, like press fittings and Tectite push-fit fittings already successfully introduced in Europe, will significantly broaden the EPC range in the American market. In the medium term, products from Aalberts Industries’ current Flow Control range will also be introduced.
Its new position in the American market and an estimated 20% share of the European market for fittings makes Aalberts Industries the number one player in the world market.