HEXPOLs acquisition of Kardoes Rubber, a well-known U.S. Rubber Compounder, is completed.
ET | Source:HEXPOL AB
HEXPOL has acquired the business of Kardoes Rubber Co. from the founder Mr.
Frank Kardoes and his family. Frank Kardoes started Kardoes Rubber in 1988 and
Kardoes is today a well-known Rubber Compounder in the US market.
"The acquisition is a very good complement to HEXPOL Compounding in the US and
broadens and strengthens our presence with Rubber Compounds into end user
markets like industrial materials handling, agriculture equipment and off the
road tires. Kardoes Rubber expands our capabilities and capacities to serve our
customers in a more efficient way." Tracy Garrison, President and CEO HEXPOL
Kardoes Rubber, with a manufacturing facility in LaFayette, Alabama, US, had a
turnover of 43 MUSD in 2013 and has around 90 employees.
The acquired business has an EBITDA margin below the HEXPOL Group and is
expected to give a minor positive impact on earnings per share from start.
"This is a further step in expanding and strengthening the HEXPOL Group with a
further acquisition within our core business. Kardoes Rubber, with its
competence and capabilities, will fit nicely into the HEXPOL Group." Georg
Brunstam, CEO HEXPOL Group
The acquisition price amounted to 31.8 MUSD on a cash and debt free basis and
has been funded by a combination of cash and existing bank facilities. The
business will be consolidated from August 2014.
For further information, please contact:
Georg Brunstam, President and CEO
Tel: +46 (0)708 55 12 51
Karin Gunnarsson, CFO/IR
Tel: +46 (0)705 55 47 32
Tracy Garrison, President and CEO HEXPOL Compounding NAFTA
Tel: +1 615 708 7855
HEXPOL is a world-leading polymers group with strong global positions in
advanced rubber compounds (Compounding), gaskets for plate heat exchangers
(Gasket), and plastic and rubber materials for truck and castor wheel
applications (Wheels). Customers are primarily OEM manufacturers of plate heat
exchangers and trucks, systems suppliers to the global automotive and
engineering industries, the energy sector and medical equipment manufacturers.
The Group is organised in two business areas, HEXPOL Compounding and HEXPOL
Engineered Products. The HEXPOL Group’s sales in 2013 amounted to 8,036 MSEK.
The HEXPOL Group has approximately 3,500 employees in ten countries. Further
information is available at www.hexpol.com.
This press release consists of such information that HEXPOL AB (publ.) may be
obliged to disclose in accordance with the Swedish Securities Market Act and/or
the Financial Instruments Trading Act. The information was submitted for
publication on August 1, 2014.
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