The Trelleborg Group increases its dimension with CGS Holding
The CGS Holding, a leading private enterprise in industrial and special agricultural tires and engineering solutions of polymers has recently gone to swell the volume of the Trelleborg Group. An acquisition that involves an investment of 10, 9 billion Swedish kronor (SEK), free debts. CGS is headquartered in the Czech Republic and in 2015 generated sales of approximately SEK 5.6 billion, with an operating margin of 16.5%.
For PeteNilsson, who concentrates the positions of Chairman and Chief Executive Officer (CEO) of Trelleborg, “for us is very gratifying to welcome CGS to Trelleborg group, because it is a company that for a long period of time has been on our list of most interesting acquisitions. An investment that will enable Trelleborg almost double its sales in agricultural tires, strengthening its leading position in industrial tires and adding new positions in the complementary segments of specialized tires. “Moreover -he adds- CGS solutions in polymers engineering incorporates new and interesting positions while Trelleborg is strengthened as a leader in various positions of current business areas of the group”.
The CGS Holding includes the main subsidiaries Mitas, Rubena and Savatech. Mitas represents about two thirds of group sales and specializes in medium / strong market brand tires with a particularly strong position within the agricultural tire sector. It is complemented by offering special tires Rubena and Savatech the polymer solutions business brands, including seals, sealing profiles engineering, specializing in molded products, printing plates and other tissue engineering.
As says Nilsson, the conviction of his group in the recovery of the agricultural market has led them to take advantage of an excellent opportunity, taking into account the expected synergies and future recovery of the agricultural market.
Mitas subsidiary will be integrated into the business area Trelleborg Wheel Systems. During the transition, operations will be independent of existing operations in Trelleborg before the gradual integration in current business areas.
Source: Trelleborg
