NIBE Industrier AB has acquired the Serbian TIKI Group, which is one of Europe’s largest manufacturers of water heaters, since the Gorenje Group is focusing on its core business of the production and sale of major domestic appliances.
TIKI, which is Serbia’s leading manufacturer of water heaters, has annual sales of approximately EUR 35 million with an EBITDA of approximately 10% and a strong market position in Eastern Europe. The company was founded in 1951 and was part of Gorenje’s corporate group. Although water heaters account for most sales, heat pumps are also included in the product range.
“TIKI will strengthen our market position as one of the largest manufacturers of water heaters in Europe and we will also gain access to production capacity in Serbia. At the same time, we will increase our market presence in new interesting markets in Eastern Europe,” says Gerteric Lindquist, CEO of NIBE.
“The entire management team will remain in place, which is reassuring, and it also feels good that Gorenje remains an OEM customer while NIBE obtains the TIKI brand for sales of branded products.”
The transaction requires the customary approval of the competition authority concerned and notification is expected by the end of the year.
The company will be part of the NIBE Climate Solutions business area and consolidation with NIBE is expected as from 1 January 2020. The purchase price is not specified since the acquired business will only constitute a small part of the NIBE Group.