Ferro Acquires Cappelle Pigments
Ferro Corp. recently announced that it has completed the acquisition of Belgium-based Cappelle Pigments.
Ferro Corp. recently announced that it has completed the acquisition of Belgium-based Cappelle Pigments for €50.5 million (approximately $54 million) on a cash- and debt-free basis. The transaction reportedly was funded through excess cash and borrowings under the company’s existing revolving credit facility.
Cappelle’s pigments complement Ferro’s market positions in complex inorganic colored pigments (CICPs) and ultramarine blue pigments. Cappelle also reportedly has a strong reputation in bismuth vanadates, offering yellow, orange and red shade varieties, which provide an environmentally friendly alternative to lead chromates in high-performance applications. Cappelle’s organic pigments reportedly offer high heat, light and environmental wear resistance.
“This acquisition strengthens our color solutions business by facilitating our expansion into the high-performance, specialty organic pigment market and complementing our inorganic pigment portfolio,” said Peter Thomas, chairman, president and CEO of Ferro. “The transaction will significantly expand our addressable market for pigments and increase sales in our Pigments, Powders and Oxides (PPO) business by approximately $70 million. Pigments produced by Cappelle and Ferro can be combined or blended with other mediums to produce specialized color solutions that enhance functionality and effectiveness of our customers’ end products while improving customers’ efficiency. We are delighted to welcome the Cappelle team to Ferro and are eager to leverage the enhanced capabilities that the acquisition provides.”