Teraplast, one of the biggest local industrial groups, takes over 50 percent of the stake held by the shareholders of Depaco SRL, the second player on the metallic sheet tiles market with the brand Wetterbest, a press release informs.
“We have received in recent years several buying offers, mainly from investment funds, but we have not accepted because they most often come with money, but do not have know-how in the field. Instead, Teraplast is an industrial group with tradition and expertise in the field, operating in the market for over 120 years and we are confident that it will get involved in the future development of the business that we built. By joining Teraplast Group we will have a greater bargaining power at suppliers, and, moreover, we have access to a portfolio of thousands of customers in Transylvania region and on foreign markets,” Dragos Irimescu, general director Depaco stated.
The acquisition is a strategic one for Teraplast Group in the context in which TeraSteel subsidiary is the market leader for the galvanized steel structures market, and the new products which will enter the portfolio will be complementary.
“We specify that the amount at which the 50 percent stake of the company Depaco SRL is purchased does not exceed the threshold of 10 percent of the turnover of the latest annual financial statements of Teraplast SA and it will be paid both from internal sources and credit institutions financing,” the release reads.
Depaco was established in 1999 and it is the second producer of metallic sheet tiles in Romania. Currently the production process at the Depaco factory from Baicoi is conducted on more than 40 automated lines: for metallic sheet tiles with different profiles, for corrugated metallic sheet tiles, for the drainage system, for seamed metallic sheet tiles and for many other accessories.
In 2016 the company realized a turnover of RON 130 million, EBITDA of RON 15.76 million and a net profit of RON 11 million.
Following this transaction, Teraplast SA will purchase the 50 percent stake of Depaco SRL (which owns 51 percent of Cortina WTB SRL) and the founding shareholder, Dragos Irimescu will remain an important shareholder of the company. Depaco operations will be managed by Valeriu Irimescu as Chief Executive Officer.
Teraplast Group is developing an annual turnover of over RON 400 million. The products portfolio of the Group is structured in six business lines: installations & decorations, windows profiles, compounds, sandwich panels, galvanized profiles and PVC windows and doors, and is on top positions on most of the markets on which is present.