Sika recently announced that it has agreed to sell its Germany-based European industrial coatings business to The Sherwin-Williams Co. In 2020, the business segment generated sales of approximately CHF 75 million (~ $81.8 million). The transaction is expected to close in the beginning of 2022.
The transaction includes the European industrial coatings business with the main location and manufacturing facility in Vaihingen, Germany. The product range encompasses anticorrosive and fire protection coatings that are mainly sold in Germany, Switzerland, Poland, and Austria.
Sika reports that the divestment is a strategic decision. The business offers a wide portfolio of products and solutions primarily sold to specialized customer groups such as steel construction companies or anticorrosion experts. These customer segments provide little synergy potential on a group-wide level, and the business has remained a specialized niche within the Sika Group.
With Sherwin-Williams, Sika is convinced that it has found the right long-term owner for the European industrial coatings business. Industrial coatings is a core competence for Sherwin-Williams, and the acquired business is an important strategic opportunity to drive growth and support the expansion of its market position in Europe.
“It is of great importance for Sika to have found a good strategic owner for the European industrial coatings business that will continue to invest in the further development of its people and products,” said Ivo Schädler, Sika’s regional manager for EMEA. “Customers can continue to rely on the availability of high-quality products and technical support in the future. Sherwin-Williams is a strong, growing company with the strategic focus on coatings and paints. Within this organization, the industrial coatings business along with its employees will be in an ideal position to develop and grow to their full potential.”