Valspar Buys $200M European Coatings Manufacturer
The Valspar Corporation announced Tuesday that it has struck a deal to acquire Inver Holding S.R.L. (Inver Group), an industrial coatings manufacturer based in Bologna, Italy.
Valspar, a Minneapolis-based paints and coatings manufacturer, did not disclose the financial terms of the acquisition but said that Inver Group’s 2012 sales totaled roughly $200 million.
The transaction is expected to close during Valspar’s fiscal fourth quarter, which ends in October, pending regulatory approval and customary closing conditions.
Inver Group was founded in 1934 and specializes in liquid and powder coatings products, as well as resins that are used in industrial applications such as off-road equipment, auto parts, architectural aluminum windows, and railways, according to Valspar. It primarily serves customers in Italy, the United Kingdom, France, Germany, and Poland.
The company will be purchased from the Domenichini family, which has owned Inver Group for three generations.
“Consistent with the growth strategy for our industrial coatings business, the acquisition of Inver Group significantly strengthens our position in the large and attractive European coatings market and provides operational synergies with our existing operations,” Valspar Chairman and CEO Gary Hendrickson said in a statement.
Valspar will “gain a proven leadership team that is a strong fit with Valspar’s culture” and the company’s customers will “benefit from the expanded technologies and service we will provide together,” Hendrickson added.
Valspar is among Minnesota’s 20 largest public companies based on revenue, which totaled $4.02 billion in its most recently completed fiscal year. Its coatings business accounted for abut 54 percent of sales.
International revenue made up about 46 percent of net sales; in addition to its presence in Europe, Valspar operates in Australia, Asia, and South America.
Inver Group CEO Giovanni Domenichini said in a statement that the acquisition is “an important step toward developing a market-leading presence in Europe that also will be a platform for truly superior global growth in our industrial coatings businesses.”