2010-10-11

IK Investment Partners acquires Hansa Group, the market leader for sanitary fittings in Germany, Switzerland and Austria

IK Investment Partners (“IK”), a Pan-European private equity firm, announces today that it has agreed to acquire 99.74% of Hansa Metallwerke AG which includes its Swiss subsidiary KWC AG (“Hansa Group” or the “Company”) from its current owners.
The Hansa Group is a market leader for sanitary fittings for bathrooms and kitchens in Germany, Switzerland and Austria with revenues of €194 million in 2009. 

The Hansa Group headquartered in Stuttgart and employing approximately 1,000 people worldwide owns two distinct and leading brands in the sanitary industry, “Hansa” and “KWC”.  Hansa holds leading positions in the German and Austrian markets and has significant presence in a number of European countries.  KWC is the leading luxury design, premium brand in Switzerland and holds attractive positions in selected international markets.  In total, the Group is represented in 50 countries across five continents.

The Hansa Group operates in an attractive industry characterised by solid growth and encouraging industry trends. The Company’s strong brands, comprehensive and innovative product portfolio – including bathroom and kitchen faucets, shower heads and systems, thermostats, in-wall fittings and accessories - together with its strong distribution platform provides for excellent market access, particularly in its core markets.

Going forward Hansa Group will continue to build upon its strong brands and its long-lasting relationships with customers and installers. Through continuous innovation and product development the Group expects to grow in its key domestic markets and in selected international markets.

IK has extensive experience in the building materials sector with investments such as Etanco, a leader in the design, manufacturing and distribution of building fastener and fixing systems in France, and realised investments including Nobia, the leading manufacturer and retailer of kitchen interior products in Europe. Further, IK has relevant experience through its investment in Gardena, the leading European gardening equipment manufacturer, which IK supported in its international expansion, product innovation and building the Gardena brand.

This is IK’s fourth announced transaction in 2010 following GHD, Colosseum and Agros Nova. Following the completion of the transaction, IK will have six portfolio companies in Germany including Minimax, Sport Group, Schenck Process, Flabeg, GHD and Hansa Group.

Chris Marshall, Hansa Group’s CEO, commented “We are delighted to have won IK as our partner for the next stage of development of the Hansa Group. IK’s investment approach and track record in building successful companies while maintaining business continuity has convinced the management team that IK is the ideal partner for Hansa Group going forward. Hansa and KWC are two leading brands with huge potential for domestic and selective international expansion which in turn is great news for our valued industry partners.  We look forward to working with the IK team and build on our vision to strengthen our position as a market leader in the sanitary fittings industry.”

The main shareholder families, Göhring and Reh commented “Our goal from the beginning was pairing our traditional corporate values with a partner who shared our ideas about the future development of the company and its employees. We would like to thank all the employees who contributed to our successes over the last ninety-nine years and wish them all the best for the future under the ownership of IK”.

Detlef Dinsel, a Managing Partner at IK, said: “We are delighted to announce the acquisition of the Hansa Group, a leader in the European sanitary fittings market. We are excited to further develop the Hansa Group and leverage its strong brands and relationships with customers. The business has a solid base established for many years under the guidance of the founding family. We look forward to working with Chris Marshall and his team to realise the Group’s true potential”.
Financials for the deal were not disclosed.  The transaction is subject to anti-trust approval.

For questions:

Hansa Group
Sonja Besler, Head of Marketing
Tel: +49 711 1614 - 328

IK Investment Partners
Detlef Dinsel, Managing Partner
Tel: + 49 40 369 885 - 0

Jonas Rodny, Communication Manager
Tel: +46 8 678 95 26

About Hansa Group
Hansa Group is widely recognised as a leader in the sanitary fittings market for bathrooms and kitchens. The product portfolio ranges from faucets, shower heads and systems, thermostats to in-wall fittings and various accessories. Hansa Group divides into two businesses units operating under different brands being “Hansa” and “KWC”. Headquartered in Stuttgart, Germany, Hansa Group generated sales of €194m in 2009 with over 1,000 employees. For more information visit our websites: www.hansa.de and www.kwc.ch.

About IK Investment Partners
IK Investment Partners (formerly known as Industri Kapital) (“IK”) is a European private equity firm, having raised a total of EUR 5.7 billion, including EUR 1.7 billion in the latest fund IK2007. Since 1989, IK has acquired 71 Euro¬pean companies. The current portfolio encompasses 20 companies with a total turnover close to EUR 7.5 billion. IK invests mainly in mid-sized companies with strong cash flow and profit improvement potential, operating in mature industries with fundamental underlying growth. For more information visit our website: www.ikinvest.com

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