PPG buys German coatings business

While waiting to close two acquisitions in Europe, PPG has scooped up a German business that makes coatings for automotive and truck wheels.

The Pittsburgh paints company said Monday it bought Cetelon Lackfabrik GmbH, which is based in Ditzingen, Germany, and has about 95 employees.

Financial terms were not disclosed.

Cetelon is owned by the Berlac Group, a Swiss company that operates a portfolio of paints and coatings businesses.

“While PPG gains Cetelon’s long-standing expertise in the wheel industry, Cetelon will benefit from a highly complementary product offering and from PPG’s global reach,” said Daniel Kesselring, chairman of Berlac Group.

Rebecca Liebert, PPG executive vice president, called Cetelon a strategic acquisition that “will allow us to continue to deliver industryleading solutions and drive growth within the transportation industry.”

One of PPG’s pending acquisitions is Worwag, a German company that makes liquid and powder coatings used in automotive and industrial applications.

Worwag has annual sales of about $260 million and about 1,100 employees.

The other is Tikkurila, an industrial and decorative paints maker based in Finland.

PPG offered $1.8 billion for the business, which had 2020 sales of nearly $700 million and has 2,400 employees.

PPG said last week it expects to close on Tikkurila and Worwag during the second quarter.

The deal for Cetelon is the fifth acquisition PPG has announced or completed since Nov. 30.