DARWEN: Crown Paints has today been acquired by world-leading coatings supplier, Hempel.
The transaction sees UK private equity house, Endless LLP, successfully exit Crown Paints after acquiring the business in September 2008. The terms and value of the transaction are undisclosed.
Hempel, which was established in Denmark nearly a century ago, is now a global business and supplies products to the decorative, protective, marine, container and yacht markets in more than 80 countries.
The company recorded profits of €92m on revenues of €889m in 2010.
Endless and the management team at Crown Paints achieved a successful turnaround of the previously loss-making business in 2008 and went on to achieve profits of £20m on sales of £180m in 2010, whilst also increasing its market share for the last three years.
Under Hempel's ownership, it will continue to develop the business in the UK and Eire, retaining all of its brands and entire product range.
Commenting on the acquisition, Crown Paints' chief executive, Brian Davidson, said: "This deal marks the next milestone in Crown Paints' illustrious history and signals the next phase in our exciting and ambitious growth plans.
"This deal is of mutual benefit to the prosperity of both companies. Hempel recognises the talent, mature infrastructure and strong customer base that we have in our business, and is committed to developing Crown Paints' brands in the UK and Eire. In return, we will use our well-developed industry know-how and market position to support the growth of Hempel's existing decorative businesses."
Chief executive of Hempel, Pierre-Yves Jullien, said: "Crown Paints represents everything we were looking for – from a solid position in the market and strong financial situation, to innovative R&D and marketing."
