US ceramic tile maker Mohawk to acquire Italian peer Marazzi Group for $1.5 billion

21 Dec 2012

US ceramic tile maker Mohawk Industries Inc, yesterday said that it will acquire Italian ceramics manufacturer Marazzi Group for about $1.5 billion in order to strengthen its position in the US, Russian and European market.

Founded in 1935 and based in Modena, Italy, Marazzi is one of the world's largest makers of ceramic and porcelain stoneware floor and wall tiles.

It is controlled by the Marazzi family, which owns a 51-per cent stake in the company, while 49 per cent is held by private equity firms Permira Funds and Private Equity Partners.

The company has manufacturing plants in Italy, Spain, France, Japan, the UAE, the UK, Russia, and the US.

Marazzi holds the number one position in the Russian ceramic market, which is similar in size to the US, and leading positions in Italy, France and Spain.

About 50 per cent of Marazzi's Russian business is sold directly to end users, while its products are sold in the US through independent distributors, home centres and a few company service centres.