Sherwin to Acquire German Industrial Coatings Company
Global coatings firm The Sherwin-Williams Company announced an agreement earlier this month to acquire industrial coatings company Gross & Perthun GmbH. According to Sherwin’s release, the business will become part of the Sherwin-Williams Performance Coatings Group reportable segment.
Based in Mannheim, Germany, Gross & Perthun is a developer, manufacturer, and distributor of coatings primarily for the heavy equipment and transportation industries. The business has approximately 100 employees and annual sales of approximately $50 million.
“This high-quality business brings us innovative waterborne and solvent liquid coatings technology, leading specification and approval positions, strong relationships with multi-national and local customers, strategically located manufacturing, and an outstanding commercial and technical team focused on delivering innovative and value-added solutions,” said Sherwin-Williams Chairman and Chief Executive Officer, John G. Morikis.
“The combination of our businesses provides multiple opportunities to accelerate profitable growth throughout Europe and beyond. We look forward to welcoming the talented employees of this excellent business to the Sherwin-Williams family upon the close of the transaction.”
“Since 1918, we have made Gross & Perthun a leader in innovative, high-quality coatings and excellent service. Given this heritage, we care confident that this agreement with Sherwin-Williams best positions us to continue to succeed in these areas for you and with you,” wrote Andreas Bälz, Gross & Perthun Managing Director, in a letter to business partners. “Like Gross & Perthun, Sherwin-Williams has a strong history.”
The transaction is expected to close by the end of the third quarter of this year, subject to customary regulatory approvals.
Recent Sherwin Acquisition
In April, Sherwin announced that it has completed its acquisition of Swiss chemical company Sika AG’s European industrial coatings business. According to the release, the business will become part of the company’s Performance Coatings Group operating segment.
Sika’s business is based in Germany, with additional sales and technical support in Poland, Austria and Switzerland. About 115 Sika employees will join the company, Sherwin-Williams reports.
The industrial coating business manufactures and sells corrosion protection coating systems for interior and exterior steel infrastructure, bridges, airport and rail, wind and energy, chemicals, power transmission, interior linings for oil and gas tanks, vessels, pipework, and water and wastewater applications. Additionally, the business offers fire protection coating systems to protect and preserve steel, wood and concrete building components.
According to a release from Sika, the closed transaction sales proceeds amount to 200 million euro (about $219 million), with a positive one-time impact on the profitability of the business in the first half-year 2022. Financial statements including the final effect will be presented in a half-year report scheduled to be published in July.
The transaction included the European industrial coatings business with the main location and manufacturing facility in Vaihingen, Germany. The product range encompasses anticorrosive and fire protection coatings, which are mainly sold in Germany, Switzerland, Poland and Austria.