CALHOUN, Georgia, April 3, 2013 /PRNewswire/ -- Mohawk
Industries, Inc. (NYSE: MHK) today announced that it has completed
the acquisition of the Marazzi Group for approximately $1.5 billion with a combination of cash and
equity giving Mohawk the leading position in worldwide ceramic
tile. The Marazzi Group is a global leader in ceramic tile with
worldwide brand recognition and 2012 revenues of about €858
million. Marazzi operates manufacturing facilities in Russia, the United
States and Western Europe
and sells to more than 100 countries around the world. Marazzi
manufactures all types of tile including glazed ceramic, glazed
porcelain, technical tile and color body porcelain.
In commenting on the closing, Jeffrey S.
Lorberbaum, Mohawk's Chairman and CEO, stated, "The Marazzi
acquisition continues the expansion of Mohawk's global business and
will make us an even stronger company. Marazzi's innovative
products, leading-edge designs, efficient manufacturing and
excellent service have created one of the industry's most valuable
brands. With the combination, we have many opportunities to improve
our ceramic performance by leveraging best practices, operational
expertise, product innovation and manufacturing assets across the
enterprise."
Marazzi holds the number one position in the Russian ceramic
market through a unique model that optimizes its total supply chain
from manufacturing to distribution to retail. In the U.S., the
combined manufacturing expertise, design capabilities and
distribution systems of Marazzi and Mohawk will satisfy all
residential and commercial requirements. In Europe, Marazzi has maintained its innovation
and design leadership throughout the cycle and improved efficiency
aligning its capacity to the market. Additional investments
are planned to further grow sales, enhance design capabilities and
improve efficiency.
Lorberbaum said, "The addition of Marazzi will allow us to
expand our U.S. distribution, source ceramic tile from our
worldwide base, and provide industry leading innovation and design
to all of our global ceramic customers. With our solid financial
position, manufacturing and distribution expertise, and
international participation in all flooring categories, Mohawk is
positioned for long term growth to maximize shareholder value."
Certain of the statements in the immediately preceding
paragraphs, particularly anticipating future performance, business
prospects, growth and operating strategies and similar matters and
those that include the words "could," "should," "believes,"
"anticipates," "expects," and "estimates," or similar expressions
constitute "forward-looking statements." For those statements,
Mohawk claims the protection of the safe harbor for forward-looking
statements contained in the Private Securities Litigation Reform
Act of 1995. There can be no assurance that the
forward-looking statements will be accurate because they are based
on many assumptions, which involve risks and uncertainties. The
following important factors could cause future results to differ:
changes in economic or industry conditions; competition; inflation
in raw material prices and other input costs; energy costs and
supply; timing and level of capital expenditures; timing and
implementation of price increases for the Company's products;
impairment charges; integration of acquisitions; international
operations; introduction of new products; rationalization of
operations; tax, product and other claims; litigation; and other
risks identified in Mohawk's SEC reports and public
announcements.
ABOUT MOHAWK
Mohawk is a leading supplier of flooring for both residential
and commercial applications. Mohawk provides a complete
selection for all markets of carpet, ceramic tile, laminate, wood,
stone, vinyl and rugs. These products are marketed under the
premier brands in the industry including Mohawk, Karastan, Lees,
Bigelow, Durkan, Mohawk Home, Daltile, American Olean, Unilin,
Pergo and Quick-Step. Mohawk's international presence
includes operations in Australia,
Brazil, China, Europe, Malaysia, Mexico and Russia.