Akzo Nobel has today completed the acquisition of 100% of the shares of Fabryo Corporation S.R.L. (Fabryo), becoming the leader in the Romanian decorative paints market.
The news follows the announcement last month that the Dutch paint giant had acquired Xylazel S.A. (Xylazel), a 100% subsidiary of Pharma Mar S.A. for an undisclosed sum. That acquisition on September 20, served to strengthen Akzo Nobel’s business and becomes a leader in the decorative paints market in Spain. It also means the company is now the leader in the country's woodcare segment and has strengthened its position in metal care. The transaction marks the 45-year anniversary of Akzo Nobel in the Spanish market.
The latest deal to buy Fabryo includes two production facilities and six distribution centres for decorative paints, adhesives and mortars, including one of the largest decorative paints factories in the region, with capacity for further expansion.
Last year Fabryo, which operates brands Savana, APLA and InnenWeiss, generated revenue of around €45million.The company employs 400 people.
Meanwhile, Xylazel employs around 100 people and operates a production facility in Porriño. The company reported revenue of approximately €20 million for FY2017.
Akzo Nobel CEO Thierry Vanlancker said of the Spanish acquisition: "As a part of our transformative strategy, we continue to focus on leading market positions delivering leading performance. This couples organic growth with strategic bolt-on acquisitions on top of operational excellence and continuous improvement. By acquiring Xylazel, we will be able to further grow our business in the region and strengthen our position as the leading paints and coatings company in Europe."
Akzo COO Ruud Joosten, added: "We are proud to add the leading brands Xylazel and Oxirite to our portfolio. Xylazel has a 43-year-old heritage on the Spanish market and a leading position in DIY, professional and industrial sectors of wood protection. This will strengthen our position in Spain and will allow us to offer our customers a wider portfolio of innovative and sustainable products."
PharmaMar CEO José María Fernández Sousa-Faro, said: "We are happy to have found a good home for Xylazel with Akzo Nobel. The activities of Xylazel are complementary to the business of AkzoNobel in Spain and we see a strong match in the combination."
Just a few weeks earlier, the Dulux parrent also revealed it had bought Surrey-based Doves Decorating Supplies and Trade Paints with a view to adding to its network of Dulux Decorating Centres.
As Akzo strengthens its position in the decorative paints market, the sale of the firm’s speciality chemicals business is expected to be completed by the end of the year.