Polygiene acquires additive company Addmaster

Polygiene, a leader in odour control technologies, has entered into a conditional agreement on acquisition of privately owned UK-based company Addmaster Holdings Ltd, a global supplier of antibacterial additives for hard surfaces. Addmaster is Polygiene’s supplier of antimicrobial additives and the companies have had a strong partnership for over 12 years.

 

Polygiene, a leader in odour control technologies, has entered into a conditional agreement on acquisition of privately owned UK-based company Addmaster Holdings Ltd, a global supplier of antibacterial additives for hard surfaces. Addmaster is Polygiene's supplier of antimicrobial additives and the companies have had a strong partnership for over 12 years.#

The purchase price, on a cash and debt free basis, amounts to in total approximately SEK 374 million, where approximately SEK 249 million is paid in cash and approximately SEK 125 million is paid through 4,564,174 newly issued shares in Polygiene. The cash payment is intended to be financed through a directed cash new issue in Polygiene, which Polygiene intends to carry out following an accelerated book-building process in accordance with a separate press release. The completion of the acquisition of Addmaster is conditional on the total issue proceeds from the directed issue amounting to at least SEK 280 million and that both the directed issue and the issue of the consideration shares are approved at an extraordinary shareholders’ meeting.

 

Polygiene, a leader in odour control technologies, has entered into a conditional agreement on acquisition of privately owned UK-based company Addmaster Holdings Ltd, a global supplier of antibacterial additives for hard surfaces. Addmaster is Polygiene's supplier of antimicrobial additives and the companies have had a strong partnership for over 12 years.#

Addmaster is primarily active in hard surfaces, which complements Polygiene, that is active in textiles and soft surfaces, well. The company believes that there are significant synergies within the companies' customer bases because Addmaster’s customers demand soft surfaces and Polygiene’s customers demand hard surfaces. Polygiene estimates that there is a potential for total synergies of a total of approximately SEK 61 million in increased EBIT during 2021-2023, of which approximately SEK 55 million stems from additional sales and approximately SEK 6 million stems from cost savings in logistics and administration.

 

Polygiene, a leader in odour control technologies, has entered into a conditional agreement on acquisition of privately owned UK-based company Addmaster Holdings Ltd, a global supplier of antibacterial additives for hard surfaces. Addmaster is Polygiene's supplier of antimicrobial additives and the companies have had a strong partnership for over 12 years.#

Over the past six years, Addmaster has had a sales CAGR (compound annual growth rate) of 15 per cent and an EBITDA CAGR of 21 per cent. During the twelve-month period October 2019 - September 2020, Addmaster’s sales amounted to approximately SEK 72.5 million with an EBITDA of approximately SEK 27.6 million, corresponding to an EBITDA margin of approximately 38 per cent. For the same period, the new merged group consisting of Polygiene and Addmaster would have had pro forma sales of approximately SEK 130.5 million with an EBITDA of approximately SEK 29.5 million, corresponding to an EBITDA margin of approximately 23 per cent.

 

Polygiene, a leader in odour control technologies, has entered into a conditional agreement on acquisition of privately owned UK-based company Addmaster Holdings Ltd, a global supplier of antibacterial additives for hard surfaces. Addmaster is Polygiene's supplier of antimicrobial additives and the companies have had a strong partnership for over 12 years.#

Paul Morris, founder of Addmaster, and Sandrine Garnier, managing director in Addmaster, will continue to be active in Addmaster following the acquisition.

 

Polygiene, a leader in odour control technologies, has entered into a conditional agreement on acquisition of privately owned UK-based company Addmaster Holdings Ltd, a global supplier of antibacterial additives for hard surfaces. Addmaster is Polygiene's supplier of antimicrobial additives and the companies have had a strong partnership for over 12 years.#

“The transaction is a milestone in Polygiene’s history and from a strategic perspective very logical given the great synergies that exist between the companies. Through the acquisition, we can strengthen our position in the market with a much broader offering, which will accelerate our already strong growth,” Ulrika Björk, CEO of Polygiene, said in a press release.

 

Polygiene, a leader in odour control technologies, has entered into a conditional agreement on acquisition of privately owned UK-based company Addmaster Holdings Ltd, a global supplier of antibacterial additives for hard surfaces. Addmaster is Polygiene's supplier of antimicrobial additives and the companies have had a strong partnership for over 12 years.#

“I am very excited to be part of bringing two leading companies together to create a global powerhouse in the antimicrobial market, utilising our joint strengths of branding, technology and organization,” Morris said.