REG - RHI Magnesita N.V. - Acquisition of P-D Refractories

RHI Magnesita NVAnnouncement

03/10/2023 07:00

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RNS Number : 4471O  RHI Magnesita N.V.  03 October 2023

RHI Magnesita N.V.

("RHI Magnesita" or "the Group")

Acquisition of P-D Refractories

 

RHI Magnesita announces the acquisition of the Germany, Czech Republic and
Slovenia based refractory businesses of the Preiss-Daimler Group ("P-D
Refractories") for a cash consideration of approximately €45 million ("the
Acquisition").

About P-D Refractories

P-D Refractories is a producer of high quality alumina-based refractories for
industrial applications in process industries, with a leading market position
in the glass and aluminium sectors. Previously part of the Preiss-Daimler
Group, the assets acquired include refractory plants in Germany and Czech
Republic and clay, quartzite and silica raw material sites in Czech Republic
and Slovenia.

P-D Refractories recorded revenues of €171 million in the year to 31
December 2022 and had Gross Assets of €187 million at 31 December 2022.

Benefits of the Acquisition

The Acquisition will increase RHI Magnesita's capabilities in alumina-based
refractories and its presence in process industries, where the Group is
currently under-represented compared to other customer sectors. Substantial
synergies are expected to be generated through access to new customers and
cross-selling opportunities, production network and logistics efficiencies,
vertical integration benefits, recycling, technology transfer and procurement
savings.

The acquisition is not expected to result in a material increase in gearing
for the Group on a pro forma EBITDA basis. The cash consideration for the
acquisition is to be funded by RHI Magnesita's existing committed and undrawn
facilities and cash.

Commenting on the Acquisition, Stefan Borgas, Chief Executive Officer of RHI
Magnesita, said:

"The production capabilities and vertical integration of P-D Refractories,
combined with RHI Magnesita's know-how and renowned R&D capabilities, will
complement our product portfolio and enlarge our production footprint and
sales channels on a global scale. This acquisition is our sixth transaction to
close in the year to date and marks a major milestone for both companies in
the process industries sector. Together we look forward to expanding our
footprint and strengthening our market presence by offering high-grade
refractory products and solutions to an enlarged customer base."

 

For further enquiries, please contact:

Chris Bucknall, Head of Investor Relations

Tel +43 699 1870 6490

E‐mail: chris.bucknall@rhimagnesita.com
(mailto:chris.bucknall@rhimagnesita.com)

 

Media:

Hudson Sandler

Mark Garraway, Emily Dillon, Nick Moore

Tel +44 020 7796 4133

E-mail: rhimagnesita@hudsonsandler.com

 

About RHI Magnesita

RHI Magnesita is the leading global supplier of high-grade refractory
products, systems and solutions which are critical for high-temperature
processes exceeding 1,200°C in a wide range of industries, including steel,
cement, non-ferrous metals and glass. With a vertically integrated value
chain, from raw materials to refractory products and full performance-based
solutions, RHI Magnesita serves customers around the world, with around 15,000
employees in 47 production sites, 7 recycling facilities and more than 70
sales offices. RHI Magnesita intends to build on its leadership in revenue,
scale, product portfolio and diversified geographic presence to expand further
in high growth markets.

The Group maintains a premium listing on the Official list of the London Stock
Exchange (symbol: RHIM) and is a constituent of the FTSE 250 index, with a
secondary listing on the Vienna Stock Exchange (Wiener Börse). For more
information please visit: www.rhimagnesita.com (http://www.rhimagnesita.com)

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