Eurocell has announced this morning that they have acquired Vista Panels from CorpAcq Ltd. Here is their full press release:
Eurocell – the UK’s leading manufacturer, distributor and recycler of window, door, conservatory and roofline products – has announced the acquisition of Vista Panels from CorpAcq Ltd. Vista is a major manufacturer of composite and PVC-U entrance doors, with a turnover of approximately £14 million. CorpAcq bought Vista in April 2008.
Vista has been at the forefront of growth in the composite doors market in the UK, with a strong presence in the social housing and private RMI sectors. It is also the sole supplier of entrance doors to Eurocell and a significant consumer of Eurocell profile. The Wirral-based company employs over 100 people nationwide.
Eurocell offers a wide range of PVC-U doors, including French doors as part of its Eurologik and Modus systems and in-line patio doors in bar length and kit form. It is also the UK market leader in PVC-U bi-fold doors, with the Eurocell Aspect system still the only product currently available to achieve both BBA and full Secured by Design accreditation.
Keith Sadler, Managing Director of Vista Panels Ltd, said: “I’m delighted. We have forged a close working relationship with Eurocell over 10 years, so we feel like a member of the family already. For all of us at Vista it’s genuinely exciting to be part of a group with such a track record of success and clear roadmap for future growth.”
Patrick Bateman, Eurocell CEO, commented: “Keith and his team run a successful company. But it’s their energy, enthusiasm and progressiveness that makes Vista stand out. It’s logical, therefore, that we wanted them to join forces with us. Together we have a stronger proposition in markets strategically important to both businesses.”
According to Insider Media Limited, the deal is estimated to be worth £7m.
Although Vista Panels had been working closely for Eurocell for a decade already, supply entrance doors to the Derbyshire based systems company, this purchase gives Eurocell a new permanent facet to their wider product portfolio, and an easier route to the entrance door market.
This type of acquisition is something that I believe we are going to see more of in the coming years. As the market continues to become more competitive and more medium sized manufacturers spring up offering innovative alternatives. Systems companies will be looking to retain their existing customers and bring on new ones by being able to offer systems and products that they did not previously.
They’ll do this by purchasing companies who are already experts in their respective fields. It would be far too risky to start fresh on a product in which they have no experience. So it is simpler and less risky to buy a company already established in that target market and absorb them into their business.
The market remains tough and very competitive. I fully expect much more consolidation of this kind over the coming few years.