RPM International Inc., the Medina, Ohio-based specialty coatings company, announced it has acquired Key Resin Co., a Batavia, Ohio-based manufacturer of polymer flooring and coating systems.
Key Resin boasts annual net sales of about $25 million, according to a news release. Terms of the transaction, which is expected to be accretive to earnings within a year, were not disclosed.
Once complete, Key Resin, which primarily services the North American market, will operate as one of RPM's Euclid Group of companies. Key Resin will continue to be run by Jeff Cain, the second-generation family leader of the business, and his management team. According to the release, the company manufactures and markets terrazzo and resinous flooring, wall coating systems, concrete repair materials and maintenance products for industrial, institutional and commercial applications. It sells directly to contractors and facility owners.
"Key Resin fits right within our sweet spot for acquisitions. It's a well-run, family-founded specialty coatings business that is a market leader," Frank Sullivan, RPM chairman and CEO, said in the release. "This transaction expands our Euclid Group's flooring systems product offering and market share in North America, and positions it as a significant player in terrazzo flooring.
As Crain's reported earlier this year, RPM planned to ramp up its deal making in 2017. As the time, Sullivan said the company would continue to do a large quantity of deals, but of smaller companies, in keeping with its strategy to grow via acquisitions.
"We want to get as many plate appearances as we can, but we're never swinging for the fences," Sullivan said. "We'd rather hit for average and get singles and doubles."
