Semperit acquires Leeser GmbH & Co. K.G

semperit-factory

Semperit A.G. Holding’s Semperform is acquiring Leeser GmbH & Co. K.G..

Once the transaction with the German seal maker is finalized, expected in the second quarter of 2015 after the firms receive approval from antitrust authorities, Semperform, which is part of the Semperit’s industrial sector, will expand its presence in the profiles market, a company spokeswoman said. Financial details were not disclosed.

With a work force of about 200, Leeser operates two manufacturing plants in Dusseldorf, Germany, where it produces high quality rubber seals mainly for companies in Western Europe with its sales focus primarily on Germany, Austria and Switzerland.

Semperit will continue to produce Leeser rubber products used for industrial applications at both factories, the spokeswoman said, and the acquired firm’s management team and work force will be retained. It also plans on keeping the Leeser name for the time being, she said.

Established in 1968, Leeser is a well positioned company, according to Thomas Fahnemann, CEO of Semperit A.G. Holding.

It complements the Semperform business thanks to its high quality product portfolio and innovative solutions, he said. Leeser had sales of about $40.6 million in 2014.

Semperit, founded in 1824, develops and produces rubber and plastic products at plants in 12 countries, including two in the U.S., for the medical and industrial sectors. It makes examination and surgical gloves, hydraulic and industrial hoses, conveyor belts, escalator handrails, construction profiles, and cable car rings along with products for railway superstructures. The company employs about 11,600 at 22 locations worldwide.

With the rubber seal maker in the fold, Semperform more effectively can serve its customers and markets and strengthen its technological base, Fahnemann said, adding that the purchase comprises another important step in the implementation of the company’s growth strategy.

“Thanks to this transaction, we can secure the continuing viability of Leeser and the jobs of its employees on a long-term basis within the Semperit Group,” he said.

Adding Leeser to the operation will strengthen Semperform’s presence in the profiles market, the spokeswoman said, and serve as another step in building the business. She said it’s likely that as part of Semperform, Leeser will branch out and sell its products beyond the borders of Western Europe.

Vienna-based Semperit’s latest acquisition is just one of several expansions or additions involving Semperit’s group of businesses during the last few years.

In 2014 alone, the company’s businesses were involved in four expansions.

The expansions and acquisitions are needed to help the company meet one of its primary 2020 strategic goals, which is to have a global presence with relevant size, she said. To do that, she said the firm will need to achieve double digit growth in sales volumes in all segments.

The spokeswoman noted that the U.S. is one of Semperit’s key markets, and expansions within its Sempermed, Semperflex and Sempertrans businesses are at least partially for the U.S. market.