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Saint-Gobain’s purchase of Sika approved by EU Commission

The European Commission has announced its approval of the acquisition of Sika by Saint-Gobain.

The Commission, which rules on antitrust issues in the European Union, said that the proposed acquisition would not raise competition concerns given the companies’ moderate market sizes and a large number of competitors in the manufacturing industry.

Saint-Gobain’s management says “these statements confirm the industrial logic of the transaction. They clearly contradict SIKA’s systematic allegations regarding the competitive situation between the two groups, which, according to SIKA’s board, justifies its opposition to the transaction.”

Saint-Gobain plans to gain a controlling interest in SIKA by acquiring Schenker-Winkler Holding (SWH). SWH, which is owned by the Burkard family, controls 16.1 percent of SIKA’s capital with 52.4 percent in voting rights. The wording of SIKA’s opt-out cause means Saint-Gobain does not have to reimburse or buy the remaining shares to gain a controlling voting interest in SIKA.

The extraordinary general meeting of SIKA’s shareholders is set for Waldmannhalle in Barr, Switzerland, at 10:30 a.m. (Central European Summer Time) on Friday.

SIKA has not yet issued a statement.

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