Expanding its business in automotive, appliance and electrical markets, Italian compounder So.f.ter SpA has acquired another Italian compounder, PGroup, out of bankruptcy.
Stefano Zocca, managing director of Forli-based So.f.ter, said its purchase of PGroup in Ferrara moves the company into one of the top three independent compounders in Europe measured by volume, with 265 million pounds projected for 2011.
“The first and most important result of this operation is a remarkable increase of the business with Germany, where the So.f.ter Group strengthened its presence, particularly in the automotive industry,” Zocca said.
This year, So.f.ter plans to rationalize compounding of engineering plastics by focusing production of specific materials in the Forli and Ferrara factories.
So.f.ter already was running PGroup, through a leasing contract signed in April 2010. Since then, management of the two companies have worked together to meet all obligations for customers and creditors and to preserve employment levels at PGroup.
Terms of the deal were not disclosed.
The acquisition of PGroup continues a string of deals for So.f.ter that began with the 2008 purchase of the European business of Matrixx Group.
So.f.ter had 2010 sales in Europe of about 150 million euros (US$200 million).