HEXPOL acquires RheTech, a well-known Thermoplastic Compounder in the US market


HEXPOL has signed an agreement to acquire RheTech Thermoplastic Compounding from
the founders’ families. RheTech has close to 50 years’ experience of polymer
compounding and is a leading provider of polyolefin compounds, engineered resins
and multifunctional colorant and additives.

"The acquisition expands HEXPOL Compounding NAFTA´s capabilities and capacities
within Polymer Compounding and is a very good complement to our present Polymer
Compounding business.”
                                                                          Tracy
Garrison, President and CEO HEXPOL Compounding NAFTA
RheTech Thermoplastic Compounding have four facilities (including manufacturing
and laboratories) located in Whitmore Lake, MI (RheTech), Fowlerville, MI
(RheTech), Sandusky, OH (RheTech Color) and in Blacksburg, SC (RheTech
Engineered Plastics). RheTech had a turnover of 117 MUSD in 2013 and has around
212 employees. The acquired business has an EBITDA margin well below the HEXPOL
Group and is expected to have a positive impact on earnings per share from
start.

"This is a further step in expanding and strengthening the HEXPOL Group with
another acquisition within our core business. RheTech, with its competence and
capabilities, will fit nicely into the HEXPOL Group and broadens our product
range within Polymer Compounding."


Georg Brunstam, CEO HEXPOL Group
The acquisition price amounts to approximately 112 MUSD on a cash and debt free
basis and is funded by a combination of cash and existing bank facilities. The
acquisition price will be paid upon completion of the acquisition which is
estimated to take place in the beginning of 2015 after regulatory approvals.
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 polymer 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 3,800 employees in eleven 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 December 22, 2014.

Attachments

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