Cavan, Republic of Ireland - Insulation producer Kingspan has announced that part of its purchase of CRH Insulation Europe (CIE) has been approved by the German, Dutch and Irish competition authorities as well as the relevant works councils.
As a result, on 19 Jan 2011, Kingspan completed the acquisition of the European polyisocyanurate (PIR) business and the Dutch expanded polystyrene (EPS) and roofing elements business of CIE.
Kingpsan said that the purchase of the rest of the CIE businesses involved will be completed at the end of Q1.
Insulation producer Kingspan announced 11 Nov that it would spend Euro 120 million ($164 million) to acquire the European insulation business of CRH plc, an international building materials group.
CIE has six business units in seven countries, with market-leading positions in PIR and EPS products across Western Europe.
CIE's PIR facilities in the Netherlands and the UK operate under the Ecotherm brand. Its EPS facilities in Finland, Sweden and Denmark operate under the Thermisol brand, in Germany as Unidek Gefinex, in the Netherlands as Unidek, the UK as Springvale and in Ireland as Aerobord.
CRH earlier noted that the businesses for sale had earnings (EBITDA) of Euro 19.8 million and operating profits of Euro 10.6 million on combined sales of Euro 241 million in 2009. CRH added that EBITDA for the current year is expected to be about Euro 11 million.
CRH also pointed out that "CRH's EPS granulates business Unipol in the Netherlands, our EPS business in Poland and also the Group's 49 percent shareholding in the Jackon Insulation extruded polystyrene business in Germany," are not included in the sale.
Irish building products group Kingspan said in November that when the deal is complete it will review the activities of some of the non-PIR units and may dispose of those with limited strategic fit.