Caesarstone acquires a controlling stake in Lioli Ceramica
With an investment of US $22 million, the Israeli manufacturer of premium quality quartz surfaces enters the large size ceramic tile sector by acquiring the Indian company Lioli
Caesarstone, an Israeli manufacturer of premium quality quartz surfaces founded in 1987 and listed on NASDAQ, announced on September 1 the final agreement for the acquisition of a controlling stake in Lioli Ceramica, an Indian manufacturer of large size porcelain tiles based in Morbi.
The transaction is expected to close by the end of 2020 and will have a value of US $22 million, including $12 million in cash and up to a further $10 million upon achieving certain milestones.
With its entry into the large size ceramic tile sector, Caesarstone is taking a further step forward in its efforts to advance its global growth acceleration plan. This includes expanding its range with the addition of new materials such as porcelain, one of the fast-growing categories in the global countertop market.
Caesarstone, which produces quartz bathroom and kitchen countertops in two factories in Israel and one in the USA (in Richmond, GA), sees Lioli Ceramica as its ideal strategic partner. Established just 4 years ago, the Indian company has an annual turnover of around US $18 million and a state-of-the-art facility equipped with the most advanced Italian technology (including System Ceramics and BMR) with a production capacity of 13,000 sqm/day of slabs in 1600x3200 mm, 1600x1600 mm, 1200x2400 mm and 1200x1200 mm sizes for use on floors, walls, external facades and bathroom and kitchen countertops.
Caesarstone’s CEO Yuval Dagim commented: “This acquisition is a major step towards our goal of becoming a leading premium, multi-material player in the global countertop industry. Lioli’s state-of-the-art porcelain operations combined with Caesarstone’s highly valued brand and established global network will strengthen our unique value proposition.”
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