Owens Corning OC acquires vliepa GmbH to expand its nonwovens portfolio for the European construction market. However, the terms of the deal were not disclosed. vliepa GmbH had sales of US$30 million in 2020. The company specializes in coating, printing and finishing of nonwovens, papers and films for the building materials industry. As a result of the acquisition, Owens Corning will own two manufacturing facilities in Bruggen, Germany. This addition therefore ideally complements the nonwovens solutions, manufacturing capabilities and business associations, making full use of the technology and capabilities of vliepa GmbH. Meanwhile, Marcio Sandri, president of Owens Corning’s composites business, said: “Our combined organization will address several key challenges, delivering enhanced performance in a variety of applications including polyiso (polyisocyanurate) insulation and drywall to adapt to macro trends including sustainability . , lightweight building materials and more cost-effective building solutions.”
Acquisitions are an important part of Owens Corning’s growth strategy. The Company is assessing its investment in further acquisitions that will enhance its commercial, operational and geographic strengths and expand the functional areas of its products. The acquisition of Paroc, a leading European manufacturer of mineral wool insulation for construction and technical applications, allows the company to expand its geographic presence in Europe and expand its product portfolio to include insulation products in all three major markets of North America, Europe and China. Owens Corning, a Zacks Rank #3 (Hold), continues to invest in select growth and performance initiatives to serve customers and improve overall operating performance. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here. In particular, the composites segment (27.8% of total sales in 2020) posted higher volumes, helped by its efforts to focus on higher-value glass and non-metals applications. -Woven products and specific markets such as India. The company is expanding or adding a new production line at its existing facility in Fort Smith, Arkansas. In the composites business, the company focuses on two areas. First, the company focuses on key markets and regions such as North America, Europe and India, where it has a leading market position. Secondly, the company strives to make the composites business the most profitable network possible, primarily through productivity and operational performance. The company is focused on improving its position in low-cost manufacturing through strategic supply agreements, completing large-scale furnace investments and improving productivity.
Owens Corning stock has outperformed the industry this year. The company benefits from market-leading operations, innovative products and technologies and capabilities. In addition, the recovery in housing demand has also benefited industry companies such as Owens Corning and Gibraltar Industries, Inc. ROCK, TopBuild BLD and Installed Building Products, Inc. IBP.
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Post time: Dec-10-2023