Veka Group buying profile competitor Gealan

By Catherine Kavanaugh
Staff Reporter

Published: March 12, 2014 12:12 pm ET
Updated: March 12, 2014 12:16 pm ET

Related to this story

Topics Mergers & Acquisitions, Building/construction, Windows & doors, Extrusion
Companies & Associations Veka AG

The Sendenhorst, Germany-based Veka Group will take over one of its competitors, Gealan Holding GmbH, in a deal that will move all Gealan subsidiaries and activities in Europe to one of the leading extruders of PVC-U profile systems for doors and windows.

Veka will see its staff grow by 1,150 employees and expects its annual turnover to increase from 793 million euros ($1.1 billion) in 2013 to more than 1 billion euros ($1.4 billion) following the acquisition of Gealan from financial investor Halder Beratungsbeteiligung.

The pending takeover still needs approval from authorities. The parties have agreed to keep the terms confidential.

Veka officials say they will bolster their position in Germany, Europe and the world by acquiring an established, well-known competitor that recently adopted a differentiation strategy.

“As an essential partner for European window manufacturers, we have to face the challenges of the market. That’s why we are strengthening our own competitive situation and, by combining our extensive expertise in profile technology, we will tap further market potential and opportunities for turnover,” Veka Group CEO Andreas Hartleif said in a statement.

The acquisition also contributes to consolidation of the market place, he added.

Internationally, Veka sells PVC-U structural elements to more than 2,200 specialized companies.

The family-owned business currently employs more than 3,600 people at 25 subsidiaries on three continents around the world. The North American operations are known as Veka Inc. and are based in Fombell, Penn.

Joe Peilert, president and CEO of Veka Inc., sees immediate advantages coming out of the Gealan acquisition.

“It means that we will soon benefit from the rich, comprehensive experience and profound expertise of both companies in the areas of extrusion, profile technology, and market development,” Peilert said in a statement.


Comments

Veka Group buying profile competitor Gealan

By Catherine Kavanaugh
Staff Reporter

Published: March 12, 2014 12:12 pm ET
Updated: March 12, 2014 12:16 pm ET

Post Your Comments


Back to story


More stories

Image

Investment firm buys Ontario cap molder

October 23, 2014 2:01 pm ET

A company whose varied interests include food and refrigerated transportation businesses is now moving into plastic caps.    More

Image

Geist Plastics changes name to Lincoln Plastics

October 23, 2014 12:31 pm ET

Custom profile extruder Geist Plastics Inc. is changing its name to Lincoln Plastics, the company announced Oct. 23.    More

Image

Report: Private equity companies may seek to buy Bayer MaterialScience

October 23, 2014 10:56 am ET

A number of investment groups are reported to be interested buying Bayer AG's MaterialScience operation, valued at around 10 billion euros ($12.6...    More

Image

Comar merging with Convergence Packaging

October 21, 2014 5:07 pm ET

A couple of plastic packaging companies owned by private investment firm Graham Partners are merging into a single entity.    More

Image

Celanese buys conductive polymer supplier

October 21, 2014 4:31 pm ET

Materials firm Celanese Corp. has acquired most of the assets of conductive polymers maker Cool Polymers Inc. for an undisclosed price.    More

Market Reports

Plastics Recycling Trends in North America

This report is a review and analysis of the North American Plastics Recycling Industry, including key trends and statistics based on 2013 performance. We examine market environment factors, regulatory issues, industry challenges, key drivers and emerging trends in post-consumer and post-industrial recycling.

Learn more

Plastics in Mexico - State of the Industry Report

This report analyzes the $20 million dollar plastics industry in Mexico including sales of machinery & equipment, resins and finished products.

Our analysts provide insight on business trends, foreign investment, top end markets and plastics processing activity. The report also provides important data on exports, production, employment and value of plastics products manufactured.

Learn more

Plastics Caps & Closures Market Report

The annual recap of top trends and future outlook for the plastics caps & closures market features interviews with industry thought leaders and Bill Wood’s economic forecast of trends in growing end markets. You will also gain insight on trends in caps design, materials, machinery, molds & tooling and reviews of mergers & acquisitions.

Learn more

Upcoming Plastics News Events

January 14, 2015 - January 14, 2015Plastics in Automotive

February 4, 2015 - February 6, 2015Plastics News Executive Forum 2015

June 2, 2015 - June 3, 2015Plastics Financial Summit - Chicago 2015

September 16, 2015 - September 18, 2015Plastics Caps & Closures - September 2015

More Events