Gypsum industry news

France/Switzerland: Saint-Gobain plans to acquire a controlling stake in Sika, a construction chemicals producer. The transaction involves Saint-Gobain's purchase of Schenker Winkler Holding AG, which owns 16.1% of Sika's capital and 52.4% of voting shares, for Euro2.3bn.

After the acquisition, Saint-Gobain will be able to fully-consolidate Sika into its operations, which will have a positive impact on net income in the year after consolidation. Saint-Gobain Group does not intend to make an offer for the remaining shares of Sika.

Sika has 16,000 employees in 84 countries. Its total sales in 2013 amounted to Euro4.3bn. It has experienced an average of 8%/yr growth in 2007-2013. Given the similarity in the activities of Sika and Saint-Gobain, it is expected that the acquisition will generate Euro100m in synergies from the second year of consolidation (2017) and Euro180m by 2019.

The deal requires the permission of the competent antitrust authorities and is expected to be completed no later than the second half of 2015.

US: US LBM Holdings has acquired Wallboard Supply Company of Londonderry, New Hampshire from the Filion family and its investors. President John Filion will continue to lead the company along with Vice President Ryan Filion and all members of the management team.

"Expanding our strong presence and capabilities along the East Coast, Wallboard Supply Company represents a great addition to the US LBM family of companies," said LT Gibson, President and CEO of US LBM. "Our commitment to partner with specialty distributors in the wallboard category ensures US LBM's top place as one of the most diverse providers of building materials in the country."

Wallboard Supply Company is a third generation, family-run business that has operated in New England since 1970. Its product line includes gypsum wallboard, metal framing, insulation, lumber and ceilings. The company has its headquarters in Londonderry, New Hampshire with four locations in Braintree in Maryland in Portland, Maine Hermon in Maine and Williston in Vermont.

India/Oman: UltraTech Cement Middle East Investments, a wholly owned subsidiary of India's UltraTech Cement, has acquired a majority stake (51%) in Omani gypsum mining firm Awam Minerals LLC.

Awam Minerals has a license to mine substantial gypsum deposits in the south of Oman. It's gypsum mining license will serve as a captive mine for the network of cement plants owned by UltraTech Cement in India, two grinding units and a cement plant in the UAE, as well as a grinding unit in Bahrain through its Middle East subsidiary.

Russia: The Ural-based company Bergauf Building Materials has purchased a production facility in Sterlitamak in the Bashkortostan Republic, Volga, from HeidelbergCement. The deal included a plant producing dry mortars under the brand Bystroy and a gypsum production complex. The price of the assets has not been reported.

US: Harrison Gypsum LLC, a producer of gypsum and plaster products, has acquired the Gravel Company LLC, a producer of aggregate materials for the construction industry. Both companies are based in the US. The acquisition will allow Harrison Gypsum to expand its operations in the Eagle Ford region in South Texas.

Romania: A Romanian investment fund, SIF Muntenia, has sold its 10.3% stake in Lafarge Agregate Betoane to its majority owner, Lafarge, for Euro1.3m. Lafarge bought 619,148 shares of Lafarge Agregate Betoane from SIF Muntenia at a price of Euro2.07/share. Lafarge Agregate Betoane quarries ornamental and building stone, limestone, gypsum, chalk and slate.

US: US private equity firm HIG Capital LLC said that its portfolio firm, gypsum and plaster products maker Harrison Gypsum LLC had bought the Eagle Ford unit of aggregate materials and soil stabilisation products supplier Pinnacle Materials LLC. Financial details were not revealed.

US: PABCO Building Products has acquired the QuietRock sound-proofing wallboard business from Serious Energy, a producer of acoustic and thermal insulation. PABCO has not disclosed the cost of the purchase.

"Given our long history with PABCO, we were happy when they sought to acquire the QuietRock business. We look forward to a smooth transition," said Tassilo Baeuerle, the president and CEO of Serious Energy. Ryan Lucchetti, president of PABCO, added that the acquisition would expand PABCIOs range of products and give it access to new technology and staff.

QuietRock provides soundproof wallboard products to the commercial and residential building markets. PABCO is a longstanding QuietRock supplier and it plans to continue production at the QuietRock manufacturing site in Newark, California, according to Serious Energy.

US: International Paper has finalised the sale of its Temple-Inland Building Products division to Georgia-Pacific Building Products for US$710m in cash, subject to a customary closing adjustment. The division's assets comprise 15 manufacturing facilities including four gypsum wallboard plants. The facilities are located across eight states, primarily in the south-eastern and eastern portions of the US. The deal was originally announced in late 2012.

Belarus: The Russian manufacturer of gypsum products VOLMA Corporation plans to acquire AAT Belhips, according to Heorhiy Kuznyatsow, head of the Belorussian State Property Committee. The privatisation of Belhips has been under consideration for three years now and Volma is the only company interested in acquiring it, said Kuznyatsow at a news conference in Minsk.

Belhips is estimated to be worth around Euro3.79m but the buyer would also be required to invest about Euro40m in the construction of a new gypsum plant outside Minsk. A draft presidential edict providing for the privatisation of Belhips is expected to be submitted to the Belorussian Council of Ministers from 25 February 2013.