Insulation industry news from Global Insulation

UK: Saint-Gobain has signed an agreement to acquire Celotex Group Limited, one of the leading British producers of high performance insulating foam.

Celotex had a turnover of Euro86.7m during its last fiscal year to August 2011. The company currently has 170 employees and two production lines based in Hadleigh near Ipswich, UK. It recently extended its capacity with a new Euro3.7m distribution and innovation centre in order to support its growth in the construction market. Celotex will continue to operate under its brand name and with its existing management team.

Already present in the UK and Ireland on the insulation market with its Isover brand, Saint-Gobain will enhance its insulation offer for new market segments such as flat roofs and floors. It also strengthens its positions in the insulation for the new construction and renovation markets.

Completion of the acquisition is subject to approval of the UK Office of Fair Trading.

Turkey: The US-based chemical company Huntsman has acquired Turkey's EMA Kimya Sistemleri Sanayi ve Ticaret for an undisclosed sum. The Istanbul-based company has the capacity to manufacture polyester polyols and blend methyl di-p-phenylene isocyanate (MDI) PU systems used in the insulation, automotive, adhesives, coatings, elastomers and furniture industries. EMI's 2010 revenues were about Euro13m.

Denmark/Poland: Rockwool International announced on 28 November 2011 that it had received the necessary approvals to acquire Polish insulation systems manufacturer Fast s.p. zoo and had closed the transaction.

The agreement was first announced in June 2011. Closing was originally expected to take place by the end of October 2011. The value of the deal was not disclosed.

Fast, also known as Etics, is one of the leading players in the Polish market for external facade insulation systems. Through this acquisition the Danish company will gain expertise in coating and plaster production, as well as colouring techniques.

Finland: The Finnish expanded polystyrene (XPS) producer, ThermiSol, has acquired Finland's Suomen XPS in a deal funded by the state-owned company Finnish Industry Investment Ltd and the mutual insurance associations Fennia and its unit Fennia Retirement. Suomen XPS produces Novafoam XPS insulation materials and the acquisition is consistent with ThermiSol's strategy of expanding its product range.

The deal was agreed by the two companies on 1 August 2011 and ThermiSol will transfer machinery and production equipment from its factory in Pietarsaari to the Suomen XPS factory in Vimpeli between the autumn of 2011 and early 2012. According to the company this move will take advantage of the Vimpeli site's geographic location.

ThermiSol's Executive Director Urpo J Salimen said that the two companies had 'obvious synergies' and had come to a deal 'as quickly as possible.' ThermiSol, also an established producer of extruded polystyrene (EPS), had a turnover of Euro60m in 2010 and has interests in Norway, Sweden, Finland and Denmark. Turnover is expected to increase by nearly 17% in 2011 to Euro70m.

Japan: To more effectively serve customers in western Japan, Saint-Gobain plans to build a new glass wool production facility near Osaka in the Kansai region through its local subsidiary Mag-Isover, Japan's leading insulation manufacturer. With a planned capacity of 60,000t/yr, the plant is scheduled to be commissioned before the end of 2013.

Representing a total investment of around Euro140 million, the plant will directly employ more than 100 people. Its output will add to the 90,000t/yr of glass wool currently being produced by the Mag-Isover facilities located near Tokyo in the Kanto region. This will bring the company's total production capacity across its four plants to 150,000t/yr.

This investment comes at a time when Japan is aiming to reduce its energy consumption. Buildings account for 30-40% of the energy consumed in the country and therefore offer an enormous combined energy saving potential, particularly in the areas of heating and air conditioning.

Russia: Saint-Gobain is also pursuing its expansion in Russia, where it has acquired Linerock, a company based in Tcheliabinsk, Ural region. Linerock is the Ural region's leading manufacturer of rockwool products, the most widely used insulation materials in the Commonwealth of Independent States (CIS). The company employs over 500 people and reported consolidated revenues of around Euro25 million in 2010.

Denmark/Poland: Rockwool International has signed an agreement to acquire FAST s.p. z o.o., a Polish system holder for external facade insulation. In 2010, FAST generated a turnover of USD 16.73m and employed 90 persons. The transaction is expected to close by the end of October 2011.

The acquisition of FAST allows Rockwool to gain access to capabilities within coating and plaster production as well as colouring techniques. In addition, the acquisition will enable Rockwool to expand the use of stone wool solutions and penetrate into the building insulation market.