Mohawk Industries announces acquisition of Marazzi Group

The US ceramic tile group Mohawk Industries Inc. announced today the definitive agreement for the acquisition of Marazzi Group for US $1.5 billion. Through this operation, Mohawk Industries becomes the world's leading group in the ceramic tile industry.
Marazzi Group has a strong presence in all key geographical areas, including Russia, USA, Italy, France and Spain, and reported a consolidated 2011 turnover of around 833 million euro (about US $1.16 billion) and an EBITDA of around 15.5% (IFRS). Marazzi is controlled 51% by the Marazzi family and 49% by the two private equity funds Permira and Private Equity Partners.  
The operation is expected to be concluded by March this year and will be conducted through Barclays Investment Bank. Rumours of a possible agreement between the two groups first emerged at the end of November.
Ceramic tile is the most widely used floor and wall covering material in the world with an estimated annual consumption of around 11 billion square metres and an annual growth rate of between 5% and 6%. Access to Marazzi's international sales network extending over more than 100 countries worldwide will enable Mohawk to secure further growth at a global level.

Founded by Filippo Marazzi Sr. and led by his family, Marazzi Group became the world leader in the ceramic tile sector with an unrivalled international brand reputation. Its product range extends from ceramic tiles to large-format glazed, unglazed and full-body porcelain. Marazzi introduced the single-firing production process that revolutionised the ceramic industry, making ceramic products accessible to a broader market. Today the Group continues to introduce technological innovations with groundbreaking techniques such as crystallised porcelain and low-thickness tiles. Marazzi has production facilities in Russia, the USA and Western Europe and employs around 6,300 people.