International. Ferro Corporation has signed a definitive agreement to acquire Endeka Group, one of the world's leading producers of high-value coatings and key raw materials for the ceramic tile market. In a separate transaction, Ferro has acquired a majority stake in Gardenia Quimica, which also supplies the ceramic tile market.
The two private companies are headquartered near Ferro's facilities in Castellón, Spain, an important centre of the global ceramics market.
The acquisition of Endeka for approximately €64 million (approximately $75 million) is subject to customary closing conditions and is expected to be completed in the fourth quarter. The transaction will be financed through excess cash and loans under the Company's existing revolving credit facility.
Endeka for the full year 2018 forecasts revenues of approximately €75 million (approximately €88 million). Ferro expects the transaction to increase earnings and adjusted EBITDA post-synergy 2018, which is forecast to be approximately 11-12 million euros (approximately 13-14 million USD).
Endeka manufactures frits and enamels, digital inks and colors used in the manufacture of a wide range of ceramic products, including tiles, tableware and sanitary ware. Endeka has approximately 340 employees working in 9 facilities in Europe and Asia.
