Stahl bolsters portfolio with acquisition of ICP Industrial Solutions Group

NETHERLANDS – Stahl, a provider of coatings technologies has agreed to acquire ICP Industrial Solutions Group (ISG), a leader in high-performance packaging coatings.

This transaction will strengthen Stahl’s position as the global leader in the field of specialty coatings for flexible materials.

ISG, a division of the ICP (Innovative Chemical Products) Group, offers a comprehensive portfolio of high-performance coatings used primarily in packaging and labeling applications, notably in the resilient food and pharmaceutical sectors.

It is mostly present in North America (close to 70% of sales), where it is a recognized technical leader.

ISG coating technologies (water-based and energy-cured) help its customers transition to more sustainable packaging.

ISG is expected to report 2022 sales of approximately US$140 million, and the acquisition will bring Stahl’s annual sales beyond the €1 billion (US$1.07bn) mark, with an EBITDA margin above 20%.

The transaction is expected to close after the first quarter of this year subject to customary conditions being met. The financial terms of the deal have not been disclosed.

Stahl CEO Maarten Heijbroek said: “ISG is a strong strategic fit for Stahl, given the complementary nature of our business models, technologies, and footprints.

“The acquisition will enhance Stahl’s growth profile, diversify our target markets, and broaden our technology base.

“Specialty coatings now represent approximately 75% of group sales. We are excited about this opportunity and look forward to welcoming the excellent ISG team into the Stahl family.”

Based in Waalwijk, Netherlands, Stahl provides coatings, processing and treatments for a range of applications in various industries.

The company’s acquisition of ISG was funded through US$50 million of financing from a group of relationship banks, extending maturities until 2028.

Stahl also has the option to refinance its existing credit facilities and fund future external growth in the speciality coating sector.

Meanwhile, in October last year, the company introduced three adhesive and bonding solutions for the automotive sector under its RelcaBond banner.

The company’s adhesive and bonding product offering draws on the company’s long-standing research and innovation focus in the automotive space.

This is channeled through Stahl’s dedicated Centers of Excellence for Automotive, from supporting product development to advanced technologies and testing equipment.

Equally, Stahl is able to offer extensive technical and research and development support to automotive customers, including original equipment manufacturers (OEMs) and Tier 1 suppliers.

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