INglass acquires the french company ERMO


INglass, worldwide leader in Automotive lighting molds, acquires ERMO, French company specialized in the production of high precision multicavity molds

INglass s.p.a., a global plastics industry leader in lighting application molds and hot runner systems, announces the acquisition of ERMO, a french company leader in the manufacture of multicavity high precision moulds. The deal is expected to close in June.

INglass made this decision in order to create a leading supplier of molds and services with high technological content in all high demanding sector of the plastic molding process ranging from automotive lighting to personal care, cosmetics, medical and closures. This transaction will lead INglass to a further diversification process development of its activities from the automotive sector that is prevalent today.

The two companies will continue focusing on their own key activities, capitalizing on the synergies arising from this transaction. ERMO indeed will benefit from the global presence of INglass who, assisting more than 50 countries at international level with local branches and two production plants in Italy and in China(Hangzhou) and the third opening soon in the U.S., and its strong presence in the Asian market, will allow ERMO to have a technical and commercial capillary support for its customers around the World and to improve the overall operational efficiency.

Furthermore the deep experience of ERMO in high precision multicavity molds will allow INglass to achieve a broader customer portfolio, improving the supply of mold products with a wider variety of solutions. The sharing of knowledge and organizational arrangements will also allow to offer the best support, regardless of the project complexity and location.

ERMO, a French company listed on C Euronext Paris segment, was founded in 1979 by the current Chairman and shareholder Mr Jean Yves Picherau. From the outset, it focused its business in multicavity and multi-component molds for highly competitive fields that require large volumes of production and low weight. Today the company operates in Europe with 5 production plants located in France and Poland.

Mr Jean Yves Pichereau says “INglass’s global presence and its strong innovative spirit will enable us to offer technologically advanced products related to the high expertise of these two companies in the whole World, especially in those countries where the demand is increasing”.

Under the transaction terms and subject to certain suspensive conditions, INglass s.p.a. will acquire the 100 % stock of AURCA, the holding company which owns approximately 83.25% of ERMO, together with a further portion of shares ERMO equal to 11,7%.

Following the acquisition of the majority, in accordance with current legislation, INglass will launch a tender offer to acquire the remaining capital of ERMO aimed at the company delisting.

INglass and ERMO will jointly represent a group of 800 employees and an expected turnover of € 110Mil. in 2014.

Mr Maurizio Bazzo, president and founder of the INglass group, states “Over the following years, this decision will allow the company to choose and focus its resources in a niche of high precision molds, retracing the path taken by INglass for rotating multicolour and multi-components molds for the automotive lighting field. ERMO, in particular, was chosen due to its excellent knowledge and the high reliability of its products, as well as the innovative spirit that we have in common”.

INglass was assisted by EY in the role of financial advisor for the transaction.