RPM Adds to Rust-Oleum Europe
RPM International Inc., the parent company of Rust-Oleum, has announced a deal to acquire SPS Group (SPS), a Dutch decorative and specialty coatings company.
Terms of the transaction, announced Dec. 21, were not disclosed.
Based in Hertogenbosch, the Netherlands, SPS has annual net sales of approximately $60 million.
SPS produces topcoats for interior and exterior walls, primers, lacquers, floor and roof coatings, metal coatings, wood stains and finishes, plasters and more. Its major customers are large home center chains and builder merchants based in the Netherlands. Its products are used by painters, plasterers, industry and do-it-yourselfers.
Under the deal, SPS will operate as part of RPM’s Rust-Oleum European business.
"By leveraging the manufacturing and distribution strengths of SPS, we expect this acquisition to accelerate Rust-Oleum's growth in the Netherlands and other nearby European countries," said Frank C. Sullivan, RPM chairman and CEO. "It will also allow the existing customer base of SPS to benefit from Rust-Oleum technologies and innovations."
The transaction is expected to be accretive to earnings within one year, excluding one-time costs, according to RPM.