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MOSCOW (MRC) -- PPG Industries says it
has agreed to acquire Ennis-Flint (Greensboro, North Carolina), a maker of
specialized transportation coatings, for USD1.15 billion. Ennis-Flint sells and
manufactures pavement markings, traffic paint, thermoplastics, and products for
intelligent traffic systems, according to Chemweek.
"The company generates about
USD600 million/year in revenues and “mid-teens percentage EBITDA margins,” PPG
says.
“The addition of Ennis-Flint’s products further enhances our
existing mobility technologies in support of increased automotive occupant
safety through driver-assisted and autonomous driving systems,” says PPG
chairman and CEO Michael McGarry. “We look forward to the Ennis-Flint team
joining PPG and working together to further expand the company’s product
distribution on a global scale.”
Much of Ennis-Flint’s revenue is derived
from “non-discretionary, essential maintenance spending,” PPG says. The company
has manufacturing facilities in the US, Europe, South America, and Asia, and
employs about 1,000 people.
The deal is part of PPG’s broader strategy to
expand in transportation and mobility related business. The company formed a
“mobility focus team” in 2017 to develop products and technologies for these
markets.
The transaction is expected to close in early 2021.
As
MRC wrote
previously, in February 2020, PPG said it had completed its acquisition of
Industria Chimica Reggiana (ICR, Reggio Emilia, Italy), a maker of automotive
refinish products. Financial terms of the deal, including purchase price, were
not disclosed. The deal was announced on 8 January. ICR was founded in 1961 and
employs about 180 people. ICR manufactures automotive refinish products,
including putties, primers, basecoats and clear coats. It also makes a range of
coatings, enamels and primers for light commercial vehicles and other light
industrial coatings applications. ICR employs about 180 people and sells its
products in more than 70 countries in Europe, Africa, the Middle East, the US
and Latin America.
We remind
that Russia's output of chemical products rose in September 2020 by 6.7% year on
year.
At the same time, production of basic chemicals increased year on year
by 6.1% in the first nine months of 2020, according to Rosstat's data. According
to the Federal State Statistics Service of the Russian Federation, polymers in
primary form accounted for the greatest increase in the January-September
output. September production of primary polymers decreased to 852,000
tonnes against 888,000 tonnes in August due to shutdowns in Tomsk, Ufa and
Kazan. Overall output of polymers in primary form totalled 7,480,000 tonnes over
the stated period, up by 16.4% year on year. |
