Leading United Kingdom plastic pipe producer Polypipe is buying the PVC piping business of Swiss plumbing technology group Geberit AG for 42.5 million ($84 million).
The sale, due to be completed by July 1, includes Geberit's plant and warehouse in Aylesford, England, and its U.K. sales force. Doncaster-based Polypipe also gets Geberit's Terrain pipe brand, a leader in the national drainage market.
Geberit's business, which employs 170, generated sales last year of £25 million ($49 million). The plant has nine extrusion lines. Geberit acquired the business in 1999 when it bought Terrain Ltd., the PVC drainage pipe extruder and fitment molding business of building products company Caradon plc, now called Novar plc.
Rapperswil-Jona, Switzerland-based Geberit's latest sale completes the disposal of its noncore PVC activities.
Polypipe, bought in 2005 by private equity firm Castle Harlan Inc. of New York, has annual sales of £330 million ($653 million). It employs 2,700 and runs 21 plants in five European countries and in Guangzhou, China.