ASSA ABLOY has signed an agreement to acquire MR Group's hardware division, a supplier of aluminum profile hardware and locks in Portugal. Portfolio expansion "I am very pleased to welcome the MR Group hardware division into the ASSA ABLOY Group. This acquisition delivers on our strategy to strengthen our position in the mature markets through adding complementary products and solutions to our core business,” says Nico Delvaux, President, and CEO of ASSA ABLOY. "We are committed to growing our mechanical core business and the acquisition of the MR Group hardware division will help us drive that through expanding our product portfolio and improving our regional footprint,” says Neil Vann, Executive Vice President of ASSA ABLOY and Head of EMEIA Division. Acquisition approvals MR Group's hardware division has some 380 employees, and the company was established in 1976. The main office is located in Águeda, Portugal. Sales for 2020 amounted to about 23 MEUR (approx. 230 MSEK) with a good EBIT margin. The acquisition will be accretive to EPS from start. The acquisition is subject to regulatory approval and customary closing conditions and is expected to close during the third quarter of 2021.
ASSA ABLOY has sold its Italian residential door business within Gardesa to Italy-based Bertolotto and is in the final stages to sell its remaining shutter business. Gardesa is an Italian manufacturer of residential security doors and roller shutters, headquartered in Cortemaggiore, Italy with around 70 employees. The company’s total sales in 2020 was approximately 10 MEUR (approx. 100 MSEK). "Bertolotto will provide Gardesa and its employees and customers with extensive experience and commitment. This will create new opportunities for the future and I wish them every success,” says Nico Delvaux, President and CEO of ASSA ABLOY. Business transformation "Gardesa has been one of our well-known brands in Italy, and I have personally spent some time with the team over the years and thank them for their contribution. I am confident that Bertolotto will take Gardesa to the next level as part of their business transformation and wish them every success in their future endeavors,” says Neil Vann, Executive Vice President of ASSA ABLOY and Head of EMEA Division. The transaction will have a positive effect on ASSA ABLOY's operating margin. The divestiture resulted in a capital loss and exit costs amounting to 18 MEUR (approx. 185 MSEK) booked during Q4 2020. The divestiture of the shutter business is expected to be completed during the first quarter of 2021.
ASSA ABLOY has acquired HKC, a manufacturer of professional fit, wired and wireless alarms and cloud based monitoring solutions for both the residential and commercial markets, based in Ireland. ASSA ABLOY is an international group with around 47,000 employees and has global sales close to £6.4 billion. In the UK, ASSA ABLOY is best known for the Yale and UNION brands and has its Head Office and main manufacturing centre in Willenhall. Given the strong commercial synergies between HKC and ASSA ABLOY Limited, the acquisition will create opportunities for growth while allowing both businesses to deliver greater value to their customers, by offering a wider and more innovative product range. No change in customer contact points HKC will continue to operate as an autonomous business as part of ASSA ABLOY, retaining the existing strong commercial and operational team that has made the business successful today. Existing customer contact points remain unchanged. "I am very pleased to welcome HKC into the ASSA ABLOY Group. HKC is a very attractive addition to ASSA ABLOY thanks to its market leading product portfolio, a strong track record of growth and new innovative product development,” says Neil Vann, MD & Market Region Manager of ASSA ABLOY UK. Integrated solution for smart home security ”HKC’s cloud based self-monitoring technology together with ASSA ABLOY’s smart digital door locking solutions creates opportunities to add greater value for our customers, providing a total integrated solution for the smart home security market.” HKC was established in 1991 and has around 45 employees. The Head Office and factory is located in Dublin, Ireland. Sales for 2018 are expected to reach some EUR 18 million (approx. SEK 180 million) with a good EBIT margin and the acquisition will be accretive to EPS from start.
ASSA ABLOY UK plans to further expand its product offering for its customers ASSA ABLOY has acquired Trojan Holdings Limited, a supplier of residential door and window hardware into the door and window fabricator market. Through this acquisition, ASSA ABLOY UK plans to further expand its product offering for its customers. Leveraging business capabilities Trojan Holdings Limited, formed in 1993, has sales of circa £20 million a year and employs 65 people in its facilities in the West Midlands. Trojan has an excellent track record in product innovation, with patent protection on a significant percentage of products. Given the strong commercial synergies between Trojan Holdings Limited and ASSA ABLOY Limited, in particular with the Yale Door and Windows Solutions business unit, the acquisition will create opportunities for both businesses to leverage their respective capabilities enabling them to service and develop their combined customer base more effectively into the future. Trojan Holdings Limited will continue to operate as an autonomous business unit, retaining its existing, strong commercial and operational team Innovative product development Trojan Holdings Limited will continue to operate as an autonomous business unit, retaining the existing, strong commercial and operational team that has made the business successful today. Announcing the acquisition, Neil Vann, Market Regional Manager of ASSA ABLOY UK, said: “I am very pleased to welcome Trojan. Trojan has a strong track record of growth and innovative product development. They offer comprehensive ranges of door and window hardware which complement and extend the ASSA ABLOY offering and their wealth of experience in the residential market will further strengthen our team and businesses in the UK to the benefit of our customers.”
Steve Ross moves into the new role with 20 years’ experience and knowledge of the UK cylinder market ASSA ABLOY UK has announced the appointment of Steve Ross to the new position of Cylinder Business Development Director, to drive further growth across all cylinder platforms, padlocks and ancillaries. This is a strategic initiative embracing cylinders across all group business units and brands including ASSA, Abloy, Mul-T-Lock, Yale and UNION. Steve Ross moves into this new role with 20 years’ experience and knowledge of the UK cylinder market, having worked in product management, sales management and, for the past four years, as Managing Director of Mul-T-Lock UK. Commenting on the new role, Neil Vann, ASSA ABLOY Market Region Manager, said: “This new role is designed to drive sustainable organic growth of both patented and non-patented key systems across all cylinder, padlocks and ancillary products. “There are opportunities to develop a more co-ordinated approach across all our business units to deliver improved customer value, especially as new technologies emerge.”