Uponor continues to streamline its operational footprint in Building Solutions – Europe segment
Uponor Corporation Investor news 5 September 2018 17:30 EET
As stated in connection with Uponor’s Q2 report, Building Solutions – Europe segment continues to streamline its operational footprint to accelerate profitable growth, greater agility and cost efficiency.
Uponor and Swegon Group AB have today signed a share purchase agreement for the sale of all outstanding shares in Zent-Frenger GmbH. In 2012, Uponor acquired Zent-Frenger, a leading provider of radiant ceilings in Germany, aiming to extend its product offering and find synergies in large commercial projects. The strategic fit did not materialise and due to different business models, the operational synergies were limited. The debt and cash free purchase price is EUR 16 million, with an additional purchase price under an earn-out agreement up to EUR 2 million. The acquisition is subject to approval by antitrust authorities and closing is expected during October 2018.
In 2017, Zent-Frenger’s net sales were approximately EUR 30 million and it had approximately 100 employees. Swegon is a company in the Latour Group which manufactures and sells products and systems for an optimal indoor climate.
In addition, Uponor has reviewed its sales office network and decided to close down its loss-making sales offices in Switzerland and Australia by the end of this year. Going forward, customers in those countries will be served through Uponor’s local partner network. These actions have implications on 12 employees.
Uponor also reviews its European warehouse network and service models to customers. As a result, Uponor has decided to close down its own warehousing operations in France and from November onwards the customers are served through its German Distribution Centre. This has implications on 6 employees. Additionally, Uponor considers options to reorganise its warehousing services in Spain.
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Uponor in brief
The year 2018 marks Uponor's 100-year anniversary. Our success is built on strong partnerships with our customers and stakeholders in the past, present and future.
Uponor is a leading international systems and solutions provider for safe drinking water delivery, energy-efficient radiant heating and cooling and reliable infrastructure. The company serves a variety of building markets including residential, commercial, industrial and civil engineering. Uponor employs about 4,000 employees in 30 countries, mainly in Europe and North America. In 2017, Uponor's net sales totalled nearly €1.2 billion. Uponor is based in Finland and listed on Nasdaq Helsinki. Uponor builds on you - www.uponor.com