RAK Ceramics has signed a deal to acquire KLUDI Group, including 49% of KLUDI RAK Joint Venture, at a total valuation of EUR39m.
KLUDI Group is an established German-based company engaged in manufacturing high-quality kitchen and bathroom faucets and showering systems. Nearly 100-years old, the company has a manufacturing footprint across Germany, Austria, Hungary and the UAE, with total annual revenues amounting to around EUR120m, a statement said.
In 2007, RAK Ceramics entered into a joint venture with KLUDI Group, to establish the brand “KLUDI RAK”, for the production and sale of fittings in the Middle East.
The new acquisition represented an opportunity for RAK Ceramics to strengthen its growing existing core businesses across German and European markets.
Abdallah Massaad, group CEO of RAK Ceramics, said: “This acquisition of KLUDI Group aligns to our growth strategy and commitment to strengthen our presence in core markets and focus on core products. It provides RAK Ceramics with the opportunity to spearhead our expansion into European markets and enhances our positioning in projects across the sanitaryware and faucets business. The acquisition, built on a long-standing partnership and a shared vision, opens up new opportunities for KLUDI Group as we aim to develop this historic and established European faucet brand further by funding its strategy and driving forward modernisation and digitalisation of the brand. This will also provide an opportunity for KLUDI Group to leverage on RAK Ceramics network to push further faucets value.”