Sources inform “Globes” that Keter Plastic, owned by CEO Sami Sagol, is about to acquire France's largest bathroom products company Allibert for €18 million.
Keter Plastics plans to market its products in Allibert's core markets in France and Belgium, where its brand is particularly well-known. Keter Plastics plans to market its plastic garden furniture, where it is a global leader, under the Allibert brand name.
Under the pending terms, Keter Plastics will pay €18 million in cash, plus an estimated tens of millions of dollars in liabilities relating to a streamlining plan for Allibert that Keter Plastics will implement. The plan calls for laying off scores of Allibert's 250 employees.
A source close to the deal told "Globes" that Keter Plastics will accept only a very limited liability for Allibert's debts, most of which will be written off under an arrangement plan with the company's creditor banks. Most of the added cost for Keter Plastics will therefore come from its streamlining and lay-offs plan for Allibert.
Allibert is Europe's leading manufacturer of plastic bathroom products. By acquiring the company, Keter Plastics will become the largest European company in the sector, with over $300 million in sales in Europe alone, out of a projected $600 million in total sales in 2004.
Published by Globes [online] - www.globes.co.il - on October 19, 2003