Swiss chemicals firm Sika AG is acquiring Crevo-Hengxin, a Chinese manufacturer of silicone sealants and adhesives used in both industry and construction applications.
Based in Changshu, eastern China, the business achieves average annual sales of CHF50m (€45m); the acquisition will help expand Sika’s target markets in these sectors and grow its sealing & bonding presence in China and the Asia Pacific region.
With 140 employees, Crevo-Hengxin is a family-owned manufacturer of a broad range of silicone products used for facades, fenestration, insulated glass, interior finishing and other sealing and bonding applications, Sika said in a statement 9 Sept.
The deal includes a production facility, an R&D centre, a warehouse, and offices.
"The outlook for the silicone sealants and adhesive market – and indeed for our business in China – is promising. With the acquisition of Crevo-Hengxin, we will increase our know-how in this key technology, and expand our local production capabilities,” said Mike Campion, regional manager Asia/Pacific, Sika.
The company, said Campion, intends to “immediately leverage the business potential of the new product lines by exploiting the cross-selling synergies offered by Sika’s extended distribution channels."