The acquisition will strengthen Hydro’s presence in Germany and other European markets and create a solid platform for further growth of the combined businesses.
The transaction will have an enterprise value of EUR 60.3 million, with adjustments for net debt and normalized working capital as of closing.
“Hueck is well positioned in Germany to serve the European building systems and extrusions market, and will fit well into Hydro Extrusions. The acquisition will strengthen our ability to provide a quality service offering to European customers with an even broader product range,” says Executive Vice President of Hydro Extrusions, Paul Warton.
Hueck had a revenue of EUR 172 million and a reported EBITDA of EUR 12.8 million in 2021. Its building systems business complements Hydro building systems’ brand WICONA, which is present across most European markets. The 12 and 8 inch extrusion presses are strong additions to Hydro’s extrusion portfolio in Europe and the cast house operation has an annual capacity of 50,000 tonnes.
“Hydro Extrusions’ focus is on sustainability, local supply and a high service level. The acquisition will complement this along with having the best people, and a focus on their safety and the quality of the products they deliver. Together, we believe we can be the partner our customers need to reach their goals,” says Warton.
Germany is the largest segment of the European market for building systems and aluminium extrusions. With the acquisition, Hydro will have five extrusion facilities, three recycling facilities and a total of 2,000 employees in the country. This includes 200 technicians who are specialists in creating solutions for windows, doors, and facades for the building and construction industry.
Completion of the transaction is subject to approval from competition authorities in Germany and Austria and is expected by end of first quarter of 2023.
Hueck is a family owned building systems and extrusions business with 500 employees, located in Lüdenscheid, Germany. Hueck Systems is a globally active, competent manufacturer and provider of aluminium profile systems for windows, doors and façade applications. Hueck Extrusion is an aluminium extrusion company, supplying extruded profiles for many industries.
Hydro Extrusions is a world leading aluminium extrusion business counting around 100 production sites in 40 countries and employing 21,000 people. Through our unique combination of local expertise, global network, and unmatched R&D capabilities, we can offer everything from standard profiles to advanced development and manufacturing for most industries.