Leap into Scandinavia
​Sioen has recently announced two acquisitions, both based in Finland and included in Sioen’s Apparel division (30% of group sales in 2015). The acquisition rationale is to add new high-end Apparel activities in consolidating markets, with a focus on public tendering, while opening a second “home market†in Scandinavia and diluting exposure to more cyclical activities such as truck-trailer tarpaulins (now 14% of group sales). Sioen has acquired €33m in sales (9% of group sales) with an EBITDA margin of 15% for an EV/EBITDA multiple of 9.3x. The acquisitions are 4.5% EPS accretive and provide a after-tax cash return in excess of WACC as from year-2 (2018). More details on the profile and impact are contained in the report.
Sioen Industries. Sioen Industries NV is a Belgium-based company with a portfolio of products and activities, such as spinning, weaving and coating, manufacturing of garments, production of chemicals and processing of technical textiles. The Company has three divisions: the Coating division, engaged in the production of a number of technical textiles, coated with various polymers and marketed in different markets; The Apparel division, engaged in the production of technical protective clothing active in a number of sectors, such as industry, leisure wear and specialized markets, as well as the Chemicals division engaged in the processing of basic raw materials into technical semi-finished products, such as pigment pastes, decorative inks, varnishes and inks for digital printing for a number of markets. It operates through Ursuit Group and Verseidag Ballistic Protection OY, UV Curable systems BVBA, James Dewhurst Group and Verseidag Ballistic Protection Oy.
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