Heidelberg sells its Hi-Tech Coatings to ICP Group

Hi-Tech Coatings develops and produces over 1,000 environmentally compatible products and formulations, primarily water-based and UV-based coatings, at its sites in Aylesbury, UK; Zwaag, Netherlands, and Taylor, MI, USA. With the sale, three sites and a total of around 60 employees will be transferred to ICP’s ISG division. 

The transaction also established a strategic partnership between Heidelberg and ICP Group to ensure Heidelberg’s future sales of its coating portfolio. The purchase, which amounts to 38.5 million EUR (42.5 million USD). Heidelberg expects the transaction to generate non-recurring income of around EUR 20 million (22.1 million USD). The sale is expected to be effective in 2019. 

‘As part of our portfolio analysis and concentration on our core activities, we have come to the conclusion that we are withdrawing from our own production of packaging and printing coatings,’ said Rainer Hundsdörfer, CEO of Heidelberg. ‘We will use the funds released as a result to push ahead with strategic investments for the future on the path to our digital transformation.’

Following the sale, the partnership with ICP Group will ensure future sales of packaging, labeling, and print coating products via Heidelberg.

‘The strategic partnership with ICP Group will enable us to offer our customers an expanded portfolio of coatings,’ said Prof Dr Hermann, member of the Management Board of Lifecycle Solutions. ‘Above all, we want to further increase the proportion of consumables through our growing contract business. This is where we will continue to trust in Hi-Tech Coatings and ICP Group’s products in the future.’

‘We are excited to welcome the employees of Hi-Tech Coatings to the ICP family and to enter into this long term, strategic partnership with Heidelberg,’ said Doug Mattscheck, CEO of ICP Group. ‘We’re looking forward to providing Heidelberg and Hi-Tech Coatings’ customers with exceptional service, an expanded product offering, and an expanded commitment to innovation and growth going forward.’