IMCD Buys Germany’s Velox
IMCD has signed a deal to buy Germany’s Velox, marking the Dutch distribution group’s second acquisition so far this year. The Hamburg-headquartered company, which celebrates its 25th anniversary this year, is focused on supplying specialties for the plastics, composites, additives, rubber, paints and coatings industries.
Velox, which employs roughly 225 people in 18 countries across Europe, Turkey and Russia, had revenues of €155 million in 2017 and a normalized EBITDA of €5.4 million, is an excellent fit with its own existing operations.
Piet van der Slikke, IMCD’s CEO, commented: “This acquisition enables IMCD to further strengthen its position as distributor of specialty plastics and additives. Our portfolios very well complement each other and we expect to be able to create more value for our suppliers and customers.”
Francois Minec, general manager of Velox, added: “Joining IMCD will provide Velox with excellent opportunities to further develop and execute its strategy as a leading distributor to the plastics and composite industries.”
The transaction remains subject to regulatory review. IMCD said it will fund the acquisition from available cash and existing bank facilities. Financial terms were not disclosed. On Aug. 1, IMCD completed the purchase of US specialty chemicals distributor E.T. Horn. Headquartered in La Mirada, California, Horn primarily serves the west and southwest regions of the US, with a focus on the coatings, construction, plastics, personal care, human food & nutrition, animal nutrition and nutraceutical sectors, along with other specialties.
