Ten Cate Completes Acquisition of Polyfelt and Sale of Permess and Multistiq

Following on from earlier reports, Royal Ten Cate announces that the Polyfelt acquisition process has been formally completed, thus making the takeover a reality. The approval of the competition authorities has been obtained. The acquisition involved an amount of €70 million, which has been financed from ongoing credit facilities.
Ten Cate together with Polyfelt occupies a leading position on the global market for geosynthetics. Ten Cate experienced significant growth in this market in 2005, particularly in the United States. This is a growth market worldwide, especially in the field of water management and the environment. As a result of this acquisition Ten Cate will now be able to offer a wide range of products with high technology support throughout the world. Polyfelt has a sales and distribution network that is spread well geographically throughout Central and Eastern Europe and Asia, where the two organizations complement each other well.
The completion is also announced of the combined sale of the Ten Cate Permess and Multistiq companies. Ten Cate Permess manufactures interlinings for ladies and men’s fashions and sells its products principally in Europe and Asia. Multistiq produces mainly self-adhesive and heat-seal base materials for labels and information carriers and supplies, among others, specialist manufacturers of label materials. The companies are well positioned to develop further independently in their specialist niche markets.
Both transactions support Ten Cate’s buy-and-build strategy, which is aimed at strengthening the strategic base and the acquisition of companies within the five strategic growth cores: protective fabrics, aerospace composites, antiballistic materials, artificial grass and geosynthetics.