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08-31-2011

Sika: Acquisition of Colauto Adesivos

Sika group based in Baar, Switzerland, has agreed to acquire Colauto Adesivos e Massas Ltda in Sao Paolo, Brazil, a manufacturer of adhesives and sealants as well as acoustic damping and structural reinforcement elements for the fast-growing automotive and transportation industry. Colauto is one of the leading suppliers of chemical process materials for the automotive industry in Latin America.

Colauto was founded as a family enterprise in 1962. The company operates a production site in São Paulo and generated sales of CHF 40 million in 2010 with a workforce of approximately 250.

Latin America’s automotive industry has a high growth potential and the significance of Brazil as car manufacturing country continues to increase. Through the acquisition of Colauto, Sika will gain access to this key growth market and be able to expand its global position. The acquisition will enable Sika to leverage the penetration of this growth market with its broad range of products and technologies. The automotive industry is increasingly focussing on Brazil as a development base for global platforms designed for the emerging markets.

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