Mohawk acquires Eliane Coatings

One of the leaders of the domestic market, Eliane Coatings unites its nearly expertise 60 years in the Brazilian ceramic tile industry to the global reach of the Mohawk Industries, Inc. in a transaction involving the sale of 100% of the shares of Santa Catarina industry for the US group. Different factors were instrumental in the negotiation, the main ones being the expansion of worldwide market share, investment capacity and continuity of Eliane brand in the local and global market.

With the deal, the Brazilian company accelerates its strategic plan for growth and investment, what the medium and long term an increase in the number of jobs and productive capacity of the six plants located in Santa Catarina (Cocal do Sul and Criciúma) and Bahia (Camaçari), and the strengthening of the distribution center in Dallas, USA.

"The Mohawk Industries has extensive know-how in the ceramic market. This investment is to expand the implementation capacity of the growth plans of Eliane and the incorporation of new technologies, maintaining the commitment to provide unique products for quality, innovation and solutions. The company will have a unique opportunity to make an exchange of technology, best practices in various areas with the most renowned companies in the global ceramic industry under the tutelage of Mohawk matrix. Besides that, this expansion favors the perpetuation of the brand Eliane coatings for her to continue leading the industry for many more years, now linked to the strength of the world's ceramic manufacturer. The story does not end here Eliane, it now begins a new cycle ", explains Edson Gaidzinski, Jr, CEO of Eliane coatings.

Gaidzinski reiterates that the policies adopted by the US have to meet the strategic values ​​of Eliane: ethic, discipline, innovation, simplicity and sustainable growth. E, thanks to this business harmony, the company will keep the commercial practice and the structure tags, as well as the mission and vision that have always guided the conduct of the industry along its 58 years of existence. The entire management team will also remain unchanged Eliane.

The overall strength of the Mohawk and Eliane

Present in more than 170 countries - with manufacturing units in 19 their -, Mohawk also operates in the vinyl and carpets, relying on acquisition 42 companies from 1992, more of 25 thousand and 39 thousand employees worldwide. only 2017, the conglomerate amounted to about $ 9.5 billion in sales - and U $ 1.9 billion EBITDA - in operations in Australia, Europe, Malaysia, Mexico, New Zealand, Russia and the US. By aligning its strategy to Eliane, Mohawk passes to gain greater visibility and strength in Brazil, market which did not act until then.

Since Brazil is the third largest consumer and the world's ceramic manufacturer, the acquisition of Santa Catarina by the US comes at an odd time, since about 80% billing of R $ 940 million recorded in the Eliane 2017 It came of the negotiations on the national market, one of the best performances in its history.

currently, ceramic products manufactured by Eliane are found in more than 80 countries - including the United States, Canada, and important regions of South America, Europe and Middle East – and Brazil in more than 15 thousand sales points. Now, the company further strengthens its export DNA and begins to act with the same mastery that invests in Brazil in other region of the globe.

On the transaction value of the group

On the transaction amount, a confidentiality agreement does not permit disclosure, but if the US thus set, the information can be found in the Investor tab on the site www.mohawkind.com.