RPM's Carboline Subsidiary Acquires Majority Interest in Indian Joint Venture
October 07 2009 - 8:00AM
PR Newswire (US)
MEDINA, Ohio, Oct. 7 /PRNewswire-FirstCall/ -- RPM International
Inc. (NYSE:RPM), a holding company of global specialty coatings,
building materials and services businesses, today announced that
its Carboline subsidiary has acquired a majority interest in its
Indian joint venture, CDC Carboline India Pvt. Ltd. Terms of the
transaction, which is expected to be accretive to earnings within
one year, were not disclosed. Based in Chennai, India, CDC
Carboline India manufactures corrosion protection and fireproofing
products predominately for the petrochemical, power, fabrication,
and commercial and industrial fireproofing markets. The company has
annual sales of approximately $8 million. As a result of this
transaction, Carboline, which is part of RPM's Performance Coatings
Group, will own an 80 percent majority position in CDC Carboline
India. The company's founder, Daniel Chittayagam, will retain 20
percent ownership and remain as managing director. "This ownership
stake in CDC Carboline India will enable us to further expand our
position in the vibrant and growing Indian marketplace, and
specifically to participate in India's continued emphasis on
infrastructure development with our Carboline products, as well as
products from our other RPM Performance Coatings businesses,"
stated Frank C. Sullivan, RPM chairman and chief executive officer.
About RPM RPM International Inc., a holding company, owns
subsidiaries that are world leaders in specialty coatings,
sealants, building materials and related services serving both
industrial and consumer markets. RPM's industrial products include
roofing systems, sealants, corrosion control coatings, flooring
coatings and specialty chemicals. Industrial brands include
Stonhard, Tremco, illbruck, Carboline, Day-Glo, Euco and Dryvit.
RPM's consumer products are used by professionals and
do-it-yourselfers for home maintenance and improvement, boat repair
and maintenance, and by hobbyists. Consumer brands include Zinsser,
Rust-Oleum, DAP, Varathane and Testors. Additional details are
available at http://www.rpminc.com/. For more information, contact
P. Kelly Tompkins, executive vice president - administration and
chief financial officer, at 330-273-5090 or . This press release
contains "forward-looking statements" relating to our business.
These forward-looking statements, or other statements made by us,
are made based on our expectations and beliefs concerning future
events impacting us, and are subject to uncertainties and factors
(including those specified below) which are difficult to predict
and, in many instances, are beyond our control. As a result, our
actual results could differ materially from those expressed in or
implied by any such forward-looking statements. These uncertainties
and factors include (a) global markets and general economic
conditions, including uncertainties surrounding the volatility in
financial markets, the availability of capital and the effect of
changes in interest rates, and the viability of banks and other
financial institutions; (b) the prices, supply and capacity of raw
materials, including assorted pigments, resins, solvents and other
natural gas- and oil-based materials; packaging, including plastic
containers; and transportation services, including fuel surcharges;
(c) continued growth in demand for our products; (d) legal,
environmental and litigation risks inherent in our construction and
chemicals businesses and risks related to the adequacy of our
insurance coverage for such matters; (e) the effect of changes in
interest rates; (f) the effect of fluctuations in currency exchange
rates upon our foreign operations; (g) the effect of non-currency
risks of investing in and conducting operations in foreign
countries, including those relating to domestic and international
political, social, economic and regulatory factors; (h) risks and
uncertainties associated with our ongoing acquisition and
divestiture activities; (i) risks related to the adequacy of our
contingent liability reserves, including for asbestos-related
claims and warranty obligations; and (j) other risks detailed in
our filings with the Securities and Exchange Commission, including
the risk factors set forth in our Annual Report on Form 10-K for
the year ended May 31, 2009, as the same may be updated from time
to time. We do not undertake any obligation to publicly update or
revise any forward-looking statements to reflect future events,
information or circumstances that arise after the date of this
release. DATASOURCE: RPM International Inc. CONTACT: P. Kelly
Tompkins, executive vice president - administration, chief
financial officer, of RPM, +1-330-273-5090, Web Site:
http://www.rpminc.com/
Copyright