Arbon, 31 March 2021 - As part of its HVAC growth strategy, Arbonia is acquiring the Spanish market leader in the distribution of designer radiators and bathroom radiators, CICSA Industriales del Calor S.L. (Cicsa). This step secures both the medium-term planned revenue growth with components in Spain and Portugal as well as the expansion of the product range in the fast-growing HVAC systems business.
Arbonia already acquired its existing distribution partner for heating, ventilation, and air conditioning equipment, TECNA S.L. (Tecna), in September 2018 to expand its HVAC direct customer business in the two southern European markets of Spain and Portugal. The acquisition of Cicsa will further strengthen the sales position of the division in the markets of Spain and Portugal with immediate effect.
In these two markets, the division is also consistently pursuing its growth strategy of being an innovative provider of systems such as heat pumps, underfloor heating, and ventilation, air conditioning and filter technology, as well as heat exchange components for all types of buildings and applications, both for the new construction and renovation markets.
Cicsa is the Spanish market leader in the distribution of designer radiators and bathroom radiators, offering its products both through local wholesalers and through key accounts in the do-it-yourself (DIY) distribution channel, a market segment that is particularly important for the components business in Southern Europe and in which the HVAC Division has not been present to date.
Arbonia is taking over all activities of Cicsa, including all employees, in order to ensure that long-standing customer relationships with existing contact persons and ongoing projects with agreed products can be continued smoothly.
Cicsa achieved revenue in the high single-digit million range with an attractive EBITDA margin in the 2020 financial year. Based on the underlying company value, the agreed purchase price corresponds to an EV/revenue multiple of about 1x. The signing and closing of the contract took place on 30 March 2021.
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