TeraPlast will be selling sandwich panel, metallic roof tile and accessories businesses. Teraplast Bistrita (TRP.RO), the group’s parent company, will be disposing of its entire shareholdings in the following companies: Terasteel S.A., Terasteel d.o.o. Serbia and Wetterbest S.A., together with their wholly owned subsidiaries Cortina WTB S.R.L. and Terasteel Slovakia SRO.
The value of the deal is estimated at RON410 million but the final price will be adjusted by net debt and working capital.
The agreement is subject to customary closing conditions, including clearance from the relevant competition authorities and the absence of a material adverse change as contractually agreed by the parties. The transaction will be submitted for final approval to the Extraordinary General Shareholders Meeting of Teraplast SA. The Board of Directors feels the transaction is value accretive for the shareholders of Teraplast SA and recommends a positive vote.
Thus, closing of this transaction will be subject to these and other conditions precedent being satisfied.
TeraPlast’s steel division generated RON578 million of the group’s consolidated turnover of RON973 million in 2019.
TeraPlast is 46% owned by businessman Dorel Goia.
Kingspan Group plc, the global leader in high performance insulation and building envelopes, is listed on Euronext Dublin and the London Stock Exchange. The group is already present in Romania with construction material manufacturer Joris Ide, which has a factory in Timis county.
Joris Ide had a turnover of RON151 million in 2019, up 15% on the year. The company, which has 100 employees, was planning to build a new factory in Buftea, near Bucharest, but construction was postponed due to the coronavirus pandemic.