Sika News 2016

Approximately one year after its national subsidiary was founded in Ethiopia, Sika is opening the first concrete admixture production plant in the country. Sika is the first-ever international company to manufacture its products locally, and the move creates a base from which to build up business activities in the growth market, which has a total population of approximately 100 million.

Sika has agreed to acquire Rmax Operating, LLC, a US-based market leader in the production of polyiso insulation products for complete Building Envelope solutions (roofing and wall systems). The acquisition brings technology and know-how that will accelerate Sika’s growth and drive innovation in the North American market via the strong synergies between the companies. Rmax generated sales in excess of USD 75 million in 2016. The transaction is subject to clearance by anti-trust authorities.

In its decision of October 27, 2016, the Cantonal Court (“Kantonsgericht”) Zug denied all requests of Schenker-Winkler Holding AG (SWH). The Court held that the share transfer restriction (“Vinkulierung”, art. 4 of Sika’s articles of association) applies to the sale of the Sika shares held by SWH to Saint-Gobain.

The Cantonal Court of Zug has informed Sika that it will communicate the judgment to the parties in the case regarding the challenge of certain resolutions adopted by the Annual General Meeting of Sika in 2015 this evening. The judgment will be published on the website of the Cantonal Court at 8.00 p.m. CET. The judgment concerns the legality of the restriction of the voting rights of Schenker-Winkler Holding AG to 5% of all registered shares. Sika will issue a media release when the judgement is known.

▪ Sales growth of 6.3% in local currencies (5.8% in CHF)
▪ Growth in all regions
▪ Operating profit (EBIT) 20.6% higher, net profit up 22.9%
▪ Continued pursuit of growth strategy with four new national subsidiaries and eight new factories
▪ Confirmation of annual targets 2016, new record in sales and profit expected

Sika has agreed to acquire Ronacrete (Far East) Ltd., one of the leading suppliers of repair mortars, tile adhesives and other mortar products in Hong Kong. This acquisition is in line with the global expansion of the high-margin mortar business – a core component of Strategy 2018. The Ronacrete plant brings Sika’s mortar footprint to 89 factories worldwide.

Sika is tapping into the future potential of the automotive sector in Latin America by opening a new factory for adhesives and acoustic products in Sao Paulo, Brazil. Today, more than 25 million vehicles produced worldwide are made stronger and safer with the company’s structural adhesives, while its acoustic systems reduce interior noise by more than 30%.

Sika has opened a technology center focusing on the further and new development of mortar products in Rosendahl, Germany. Following a construction period of 14 months, it was inaugurated in an official ceremony.

Sika has acquired FRC Industries a fiber manufacturer based in Tuscaloosa, Alabama. The company offers a full line of high quality synthetic polypropylene and steel fibers for concrete. This acquisition will accelerate growth in the USA and further establish Sika as a comprehensive supplier of solutions for the construction industry.

The establishment of new national subsidiaries in Djibouti and Cameroon takes the total number of subsidiaries on the African continent to 18. This increases Sika’s international presence to a global total of 97 national subsidiaries.