US ceramic tile maker Mohawk in talks to buy Italian peer Marazzi Group: report
24 Nov 2012
US ceramic tile maker Mohawk Industries is in advanced talks to acquire Italian ceramics company Marazzi Group, Reuters yesterday reported, citing two sources familiar with the deal.
Founded in 1935 and based in Modena, Italy, with manufacturing plants in Italy, Spain, France, Japan, the UAE, the UK, Russia, and the US, 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 Permira Funds and Private Equity Partners.
Marazzi posted 2011 sales of around €832 million with markets outside Europe accounting for more than 50 per cent of its sales.
"The talks are in an advanced stage with due diligence ongoing, though it is still not completely sure if the deal will go through," one source told the news agency, while another source said that deal price was around $1.2 billion.
Georgia-based Mohawk, which has grown through acquistions, is a leading supplier of flooring for both residential and commercial applications.
It offers a complete selection of carpet, ceramic tile, wood, stone, laminate, vinyl, rugs and other home products. These products are marketed under brands that include Mohawk, Karastan, Ralph Lauren, Lees, Bigelow, Quick Step, Dal-Tile and American Olean.
Apart from the US, the company also has operations in Australia, Brazil, China, Europe, Mexico and Russia.
