Owens Corning to Acquire Paroc

Noria news wires
Tags: manufacturing

Owens Corning recently signed an agreement to acquire the Paroc Group for approximately $1 billion. A leading European manufacturer of high-performance mineral wool insulation solutions, Paroc produces building insulation for thermal, fire and acoustic applications in residential and commercial construction. The company also manufactures technical insulation for HVAC systems and industrial processes, as well as for the marine, offshore and original equipment manufacturer industries.

The acquisition is expected to expand Owens Corning's mineral wool technology, grow its presence in the European insulation market, provide access to a variety of new markets and increase the company's sales mix of the insulation business outside the U.S. and Canada to 35 percent.

The transaction, which is subject to regulatory approvals and other customary conditions, is anticipated to close in early 2018.

"The acquisition of Paroc delivers on Owens Corning's strategy to provide our customers with a portfolio of insulation products that cover the full temperature spectrum in the three largest insulation markets – Europe, North America and China," said Mike Thaman, Owens Corning chairman and chief executive officer. "Over its 80-year history, Paroc has earned a reputation for high-quality products and technical expertise. I am impressed with the Paroc team and believe they will be a great addition to Owens Corning."

Paroc employs more than 1,800 people in 13 countries and operates facilities in Finland, Lithuania, Poland, Russia and Sweden.

"I am very excited about our new opportunities with Owens Corning," said Kari Lehtinen, Paroc's chief executive officer. "We have built a company with a leading market position, offering attractive value propositions to our customers and employees. Owens Corning will help us to expand further in the growing Central and Western European markets, using our solid base as a platform for growth."

For more information, visit www.owenscorning.com.