STOCKHOLM--(BUSINESS WIRE)--Regulatory News:
HEXPOL (STO:HPOLB) has acquired Robbins Holdings, Inc. including Robbins LLC. Robbins is a leading US rubber compounder and a global leader in molded envelopes and curing tubes for especially truck, heavy equipment and airplane tires.
“The acquisition is a very good compliment to HEXPOL Compounding and broadens our presence with rubber compounds into end user markets like agriculture, mining, oil and gas. It also brings a global leadership in molded envelopes and curing tubes to the tire industry”
Georg Brunstam, CEO HEXPOL Group
Robbins has an estimated annual turnover of approximately 100 MUSD with around 240 employees and has three production facilities in the US; Muscle Shoals, AL, Findlay, OH and Tallapoosa, GA.
The acquired business has an EBITDA margin slightly lower than the HEXPOL Group and is expected to have a positive impact on earnings per share from the start. The acquisition price amounts to 89.2 MUSD on a debt free basis, and is funded by a combination of cash and existing bank loans. Integration and transaction cost of 15-20 MSEK will be charged in Q4 2012. Robbins will be consolidated from December 2012.
HEXPOL is a world-leading polymers group with strong global positions in advanced rubber compounds (Compounding), gaskets for plate heat exchangers (Gaskets) and wheels made of plastic and rubber materials for truck and castor wheel application (Wheels). Customers are primarily OEM manufacturers of plate heat exchangers and trucks, global systems suppliers to the automotive industry- and engineering industry and the medical technology industry. The Group is organised in two business areas, HEXPOL Compounding and HEXPOL Engineered Products. HEXPOL's sales in 2011 amounted to 7,197 MSEK. The HEXPOL Group has approximately 3,100 employees in ten countries. Read more at www.hexpol.com.
This press release may contain forward-looking statements. When used in this press release, words such as “anticipate”, “believe”, “estimate”, “expect”, “plan” and “project” are intended to identify forward-looking statements. They may involve risks and uncertainties, including product demand and market acceptance, the effect of economic conditions, the impact of competitive products and pricing, foreign currency exchange rates and other risks. These forward-looking statements reflect the views of HEXPOL’s management as of the date made with respect to future events and are subject to risks and uncertainties. All of these forward-looking statements are based on estimates and assumptions made by HEXPOL’s management and are believed to be reasonable, though are inherently uncertain and difficult to predict. Actual results or experience could differ materially from the forward-looking statements. HEXPOL disclaims any intention or obligation to update these forward-looking statements.
This press release has been prepared both in Swedish and English. In case of any divergence in the content of the two versions, the Swedish version shall have precedence. This press release consists of such information that HEXPOL AB (publ.) may be obliged to disclose in accordance with the Swedish Securities Market Act and /or the Financial Instruments Trading Act. The information was submitted for publication on November 27 2012.
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