Carpet giant buys Spanish tile maker
CARPET and flooring manufacturer Victoria has acquired a European rival in a £246 million deal.
The Kidderminster-based outfit has agreed a deal to buy the entire share capital of Spanish group Keraben, which makes branded floor and wall ceramic tiles, from Tensile-Keraben and the founding family. Keraben is headquartered near Valencia and posted revenue of £106.4 million for 2016.
The acquisition continues Victo- ria’s drive into the European hard flooring market following the recently announced proposed acquisition of Italian outfit Ceramiche Serra which is expected to complete in the coming weeks.
Victoria’s chairman Geoff Wilding said: “We believe that Keraben is a high-quality addition to the group.
“Notwithstanding its further strong organic growth prospects, the acquisition of Keraben will be materially earnings accretive in the first year of ownership and continues to increase our geographic diversity. Post-completion, over 50 per cent of Victoria’s earnings will be generated from outside the UK – continuing our transformation into a genuinely international flooring business.
“We are delighted by the level of support we have received from both existing and new investors, with the placing oversubscribed by a multiple of the funds sought.”