Chicago Metallic acquired by the ROCKWOOL Group
The ROCKWOOL Group, on behalf of its ROCKFON Group affiliate, a supplier of stone wool acoustic ceiling and wall solutions, has acquired Chicago Metallic, a global provider of architectural building products and services—including metal panels and ceiling systems, suspended grid systems, and acoustical and sustainable ceiling panels. It has a network of sales and distribution channels throughout North America, Europe and Asia supported by production facilities in China, Malaysia, Belgium and the U.S.
The acquisition is part of the ROCKWOOL Group’s strategy to globalize and develop its ceiling business, which today accounts for approximately 10 percent of Group revenues. Chicago Metallic supports the Group’s growth in North America, as well as Asia, allowing a significant acceleration to the already ongoing expansion into these regions. The newly acquired Chicago Metallic Company LLC (CMC) represents one of the largest acquisitions to date by the ROCKWOOL Group.
“ROCKFON and Chicago Metallic are combining forces to offer the market a comprehensive range of quality ceiling tiles, metal panels, and suspension systems with a high service level,” explained the ROCKWOOL Group’s Systems Division’s Managing Director, Herman Voortman.
Now that the transaction has been completed, the ownership of the business has been transferred to ROCKWOOL International A/S. Headquartered in Hedehusene, Denmark, ROCKWOOL International A/S reported more than $2.5 billion in revenue in 2012 and has nearly 10,000 employees across 40 countries.
In 2012, Chicago Metallic generated $139 million in revenues and employed approximately 600 employees. In recent years, its earnings before interest, taxes, depreciation and amortization (EBITDA) ratio has around 14 percent.
“An integrated, collaborative effort is already underway to introduce customers to the added benefits of Chicago Metallic and ROCKFON’s range of products and breadth of services,” said John Medio, the newly appointed president for the combined activities of the two companies in North America and the Far East. “We previously have worked together in Europe and the U.S., and bring a combined wealth of experience and expertise.”
“Ceiling tiles and grids are the perfect match and naturally complement one another. The product range can vary from one region to another,” added Voortman. “Chicago Metallic is a major player in North America and also holds a position in Asia with many years of experience, local teams and production facilities in both areas. Its brand is well known for its professional assortment and close relationships with contractors based on strong technical support, product development and delivery service.”