OSAKA, Japan--()--Japan's leading diversified materials manufacturer Nitto Denko Corporation (TOKYO:6988)(ISIN:JP3684000007) announced today that it has reached an agreement to acquire Bento Bantçılık ve Temizlik Maddeleri Sanayi Ticaret together with its sales subsidiary Bento Pazarlama ve Ticaret ("Bento"), Turkey's leading manufacturer of industrial tapes. With Bento joining its global network, Nitto Denko aims to increase within 5 years by 2.5 times its sales from tape business in Europe and other neighboring regions under its European operation by boosting the business there, centered on the emerging economies such as Turkey, Eastern Europe, Middle East and North Africa.
In today's global economy, the bullish emerging markets are becoming increasingly important. Nitto Denko targets to achieve leading market share in multiple world regions, especially in the emerging economies, with niche products as part of its "Area Niche Top®" strategy. The company also continues to pursue its unique Global Niche Top® strategy, which aims to achieve the World's top share in niche, globally-integrated markets.
Two years ago, Nitto Denko has set up its first Turkish subsidiary Nitto Denko Turkey Bant Materyalleri San. ve Tic., which conducts material processing and sales of tape products, in order to serve the tape product needs in bullish automotive and household appliances sectors. In the meantime, Nitto Denko has been exploring acquisition possibilities of strong tape manufacturers in the Turkish market, which may potentially strengthen its competitive position in aforesaid segments by localizing its cost effective operations and achieving an optimal supply chain.
Fully leveraging Bento's top tier production capabilities in Turkey, Nitto Denko will further enhance its cost competitiveness and speedy customer service, which will lead the company to boost its tape business in Europe as well as in emerging markets such as Middle East and North Africa.
Bento's extensive lineup of highly cost-effective tape products targeting the emerging markets is ideally suited to complement Nitto Denko's existing one, which centers on tapes for developed economies. Furthermore, as Bento is geographically located in the center of Europe, Middle East and North America, it is expected to serve as a key site for Nitto Denko's European business operation targeting the emerging economies.
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Overview |
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| 1) | Acquisition form: | Business transfer | ||
| 2) | Acquisition target: | Bento Bantçılık ve Temizlik Maddeleri Sanayi Ticaret | ||
| (Manufacturing and sales company), | ||||
| Bento Pazarlama ve Ticaret | ||||
| (Sales company) | ||||
| 3) | Amount paid: | 100 million US dollars | ||
| 4) | Closing: | Scheduled to be on June 4, 2012 | ||
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Details of the acquired company |
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| Name |
Bento Bantçılık ve Temizlik |
Bento Pazarlama ve Ticaret |
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| Location | Istanbul, Turkey | Istanbul, Turkey | ||
| Capital | 5.3 million US dollars | 0.1 million US dollars | ||
| Founded in | 2000 | 2008 | ||
| President | Mehmet Ferudun ERAY | Mehmet Ferudun ERAY | ||
| Headcount | Approx. 250 | 9 | ||
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Annual sales |
95 million US dollars | 40 million US dollars | ||
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Business |
Manufacturing and sales of |
Sales of components for sanitary products | ||
About Nitto Denko
Japan's leading diversified materials manufacturer Nitto Denko offers to the global market about 13,500 species of high-value-added products. Nitto Denko's strength lies in its flexibility to add diverse functionality to sheets, films and other materials, fully utilizing its core technologies such as polymer synthesis, adhesion and coating technologies.
Nitto Denko shares are traded on the Tokyo Stock Exchange is a global company founded in 1918 with 2010 sales of USD 7.7 billion. The company consists of 107 subsidiaries across the globe and employs over 33 thousand people.