CFI advised Sto SE & Co. KGaA (‘Sto’) on its acquisition of a minority stake in JONAS Farbenwerke GmbH & Co. KG (‘JONAS’)

Zürich – CFI is pleased to announce it advised Sto SE & Co. KGaA (‘Sto’) on its acquistion of 49.8% of the shares in JONAS Farbenwerke GmbH & Co. KG (‘JONAS’). Subject to the approval of the Federal Cartel Authority (Bundeskartellamt), the transaction will have an effect as from 31 December 2017.

JONAS is a family-run company with 77 employees and is one of the most efficient and productive manufacturers of wall paints and other water-based coating products on the professional market in Germany. JONAS owns a highly modern manufacturing plant in Wülfrath/Germany, provides a service that enjoys market-wide recognition, and offers products of the highest quality. Furthermore, the company has developed into a specialist for paints for private label customers.

Sto [ISIN DE0007274136, Ticker Symbol: STO3] is a major international manufacturer of products and systems for building coatings. The company is a leader in the business field of external wall insulation systems. Sto’s core product range also includes high-quality facade elements, as well as renders, plasters and paints for building exteriors and interiors alike. There is also a focus on concrete repair, floor coatings, acoustics, and rainscreen cladding systems.

Sto has been developing a second distribution channel via specialist retailers and wholesale for selected products since 2002. With the company SÜDWEST Lacke und Farben GmbH & Co. KG, BöhlIggelheim/Germany, Sto has a lacquer specialist that already operates very successfully using this type of distribution. As part of its long-term strategy, Sto aims to gradually expand this distribution channel and to develop into one of the leading suppliers. CFI assisted Sto with an intensive search, following which Sto has found a partner in the JONAS company that will make a major 2 contribution towards achieving this goal. It will complement Sto’s existing strengths with very little overlap: While Sto’s core competencies are facade products, JONAS is specialised on products for interiors and renovation projects.

The shareholders of JONAS Farbenwerke, i.e. the Rouenhoff family and Sto, will further develop the company under the management of Axel Rouenhoff, who has been the managing director for many years. True to the JONAS company motto “… you can rely on us”, continuity and reliability will remain the highest priorities.

The transaction was announced on 11 October 2017 and closed on 31 december 2017.

Chemicals

has acquired a minority stake in

Transaction details

Sto, one of the major international manufacturers of products and systems for building coatings, acquired 49.8% of the shares in JONAS, a manufacturer of wall paints and other water-based coating products