NEW DELHI: HIL, part of the USD 1.8 billion diversified CK Birla Group, said that it will buy German flooring solutions firm Parador.
Parador, with the turnover of €142.2 million, is the category leader in design and innovation with all products developed internally and produced with “Made in Germany” and “Made in Austria” quality.
The Company has long-standing relationships with all major customers in Europe. The combined entity will continue to enjoy a leadership position in Building Material segment in India with strong capabilities in Europe. Parador has a history of profitable operations and expects sustained growth in revenues and earnings going forward.
The acquisition will enable HIL’s transition into a global player in the Building Materials segment. It will facilitate entry into Flooring Solutions, a segment, which is highly complementary to HIL’s current product portfolio and also provide a renowned brand with strong R&D and design capabilities.
The strong leadership team at the helm, at Parador will continue to be responsible for day to day operations and drive the business forward.
CK Birla, Chairman of the CK Birla Group, said: “The acquisition of Parador fits into our strategic roadmap and is an important step towards becoming a global player in the building materials industry. It also enables us to enter into adjacent categories for future growth. Parador’s strong developmental capabilities will enable us to build flooring solution products suited to India and South East Asian markets.”
Dhirup Roy Choudhary, Managing Director & CEO of HIL said “With world class development capabilities and strong customer relationships, we found Parador flooring solutions to be a great alignment with our existing offerings at HIL and it takes us closer to our aspiration of one stop shop for all Building Materials and products. The synergistic combination of complimentary portfolios will create a stronger global business. We believe that we will be able to expand the product sales into India and other South East Asian nations, which will enable us to drive faster growth.”
The acquisition comes at an attractive valuation and remains subject to antitrust filings in Germany and other relevant regulatory approvals.