The new company is set to operate under the name Arbonia AG, a reference to the location of both companies’ headquarters in the St.GallenBodenseeArea, according to a Looser Holding statement.
“With its strong market position in the area of doors and industrial services, Looser is a perfect fit for AFG. The cultural proximity is also important. Both companies are based in Arbon,” said Rudolf Huber, chairman of the board of directors of Looser.
The combination of AFG and Looser will create one of the largest suppliers of internal doors in central Europe. AFG is already well established in the Swiss market, while Looser holds a strong position in Germany and Poland.
“Through the combination, the Group is reaching a leading market position in all divisions and is positioning itself outstandingly well as a focused building supplier in the central European markets,” said AFG CEO Alexander von Witzleben. “Going forward, this forms the basis for further significant earnings potential.”
Annual synergies of around CHF 10 million are anticipated beginning in 2018, and at least CHF 15 million from 2020 onwards. The Group expects that the new Arbonia AG will generate a combined revenue of at least CHF 1.4 billion and an EBITDA of at least CHF 150 million in 2018. The transaction is expected to be completed on 14 December.
