Continental Gains Approval from Antitrust Authorities
Wednesday, 01. March 2017
The purchase of the Hornschuch Group, Weißbach, by Continental was completed on March 1st, 2017. All of the responsible antitrust authorities had previously unconditionally approved the merger of the two companies. The Hornschuch Group can now be integrated into the Benecke-Kaliko business unit.
Merged to grow: Dr. Dirk Leiß, Chairman of the Executive Board of Benecke-Kaliko AG, and Dr. Hans-Hinrich Kruse, Chairman of the Executive Board of Konrad Hornschuch AG.
For Benecke-Kaliko, this is the largest acquisition in the company’s almost-300-year-history. The company is thereby strengthening its business outside the automotive industry, as Hornschuch generates more than half of its sales with industrial applications. The Continental Corporation is able to finance the acquisition entirely from its own liquid assets and available lines of credit.
Boost to global presence and access to new markets
“We have purchased the Hornschuch Group as we want to achieve further growth. And strong growth, at that,” says Dr. Dirk Leiß, Chairman of the Executive Board of Benecke-Kaliko AG. “Our primary objective is to strengthen our industrial business so that it can catch up with the growth rates of our automotive business.” The very well-developed international sales networks of the two companies complement each other well. In North America in particular, the merger will allow better access to customers. For the Hornschuch employees, belonging to an international technology group will open up new development options and international career opportunities. Dr. Leiß also anticipates a creativity boost in surface design and in research and development, as well as synergies in purchasing and administration.
Strategic investment ensures future viability
Dr. Hans-Hinrich Kruse, CEO of Konrad Hornschuch AG, was also optimistic: “In the sale process, it became clear that the Hornschuch Group can best ensure its future viability with a strategic investor like Continental. The merger with Benecke-Kaliko thus provides an excellent opportunity to develop further together in our global markets. We are simply a good match because we have comparable traditions and cultures.”