26 January 2016
26 January 2016
Owens Corning has signed an agreement to acquire the glass non-wovens and fabrics businesses of Ahlstrom, headquartered in Helsinki, Finland, for €73 million (US $79.5 million), which is subject to regulatory approvals, is anticipated to close in the first half of 2016.
“The planned acquisition of Ahlstrom’s glass non-wovens and fabrics businesses is a winning combination for our customers, our markets, and our employees,” said Arnaud Genis, Group President of Owens Corning’s Composite Solutions Business. “This is a highly complementary acquisition that will provide new revenue, technology, talent, and access to markets.”
“The addition of these businesses demonstrates Owens Corning’s commitment to capital efficient growth in its Composites business, while at the same time creating scale for investments in new technology and capacity to help our customers grow,” Genis added.
Marco Levi, President and CEO of Ahlstrom, added, “We are happy to have found Owens Corning as the buyer as it’s vertically integrated and has ample resources to develop the glass fibre business further. We also believe this is a good solution for the unit’s employees transferring to the new owner.”
The assets to be acquired by Owens Corning include operations in Karhula and Mikkeli, Finland, and Tver, Russia. Collectively, the facilities employ approximately 260 people and reported 2014 sales of €77 million (U.S. $85 million). The operations in Karhula and Tver produce glass non-wovens, primarily for flooring applications, and the facility in Mikkeli produces fabrics, primarily for the wind energy market.
According to Owens Corning, the addition of the Ahlstrom assets will strengthen its position as a global leader in the non-wovens and wind energy, high-modulus glass, and specialty fabrics segments. In doing so, it will also provide a broader, multi-region supply base across Europe, North America, and Russia to serve customers efficiently. Owens Corning says the transaction also reflects its ongoing commitment to growing its downstream composites businesses and is consistent with its investment in the construction of a new glass non-wovens facility in Gastonia, North Carolina, US, which will begin production in early 2016.