TeraPlast sells the PVC joinery business line to Dynamic Selling Group

TeraPlast, the parent company of TeraPlast Group, has announced it’s selling its joinery profile business line to Dynamic Selling Group, producer and distributor of joiner insulation profiles.

According to a press release, the decision to sell comes following TeraPlast’s strategy to develop its business in other sectors as well. The transaction is pending the Competition Council’s go-ahead.

TeraPlast was in talks with two companies for this transaction- with the world leader in the fields and with the Romanian producer Dynamic Selling Group. Following negotiations, the Romanian company came out as winner, with a deal of around EUR 4.5 M inked.

“The profile business was the only one within the Group where we were not among the first two players on the market. Our strategy was and is to rank first or second on any markets that we are present (…) We chose to focus on developing other areas of the TeraPlast business. Our target is to reduce imports and to produce on the same technical levels with the bid international producers”, said Alexandru Stânean, CEO TeraPlast.

In the first nine months of 2020, TeraPlast Group reported an increasing turnover of 14%, up to EUR 167 million and a rise of 4% of EBITDA, up to EUR 20 million

The joinery profiles represented EUR 9 million of the turnover in the first part of this year. The distribution network of this business line includes over 200 customers and also TeraPlast Hungary.