Insulation and building materials manufacturer Kingspan has agreed a deal with Langley Co-Invest to buy 100% of the shares of Logstor International Holding for about €253m.
Logstor supplies technical insulation solutions encompassing complete pre-insulated pipe systems for district energy and associated applications. Its main markets are in Scandinavia, Germany, Netherlands, Poland and France, but it also operates in other European countries as well as North America and the Middle East.
It has seven manufacturing facilities in Denmark, Finland, Poland and Sweden, and employs around 1,100 people in 14 different countries.
Kingspan said the acquisition is expected to enhance its earnings on an annualised basis by about nine cent a share.
The deal is conditional on regulatory clearance, and is expected to complete around the middle of the year. It will be fully funded from Kingspan's existing credit facilities, the Co Cavan-based company said.
Gene Murtagh, Kingspan's chief executive Officer, said the acquisition of Logstor marks an important step for Kingspan, as part of its strategy to develop its technical insulation proposition as a complementary business to core building insulation.
"Logstor is a great company with a dedicated workforce and superior products in an industry that will see strong growth in the years to come. We are looking forward to supporting its ambitious journey ahead," he added.