BDR Thermea approved by European Commission
Published: 02 November, 2009
DERBY: De Dietrich Remeha Group and Baxi Group announce the creation of BDR Thermea, a new company in climate and hot water solutions and services.
Following the receipt of all necessary EU competition approvals, the transaction initially announced in July 2009 has been completed. The new group will be called BDR Thermea, recognizing the contribution both groups bring to the combination.
Rob van Banning, formerly chief executive officer of De Dietrich Remeha Group and appointed as the new chief executive officer of BDR Thermea, said: “I am delighted to be able to announce the successful creation of our new company. With our complementary geographic strengths and entrepreneurial culture, we have created a new group that is a true leader in European heating products with further potential in other geographies. Cost synergies can be created through implementing best in class technological platforms and efficient operations, supporting the employees of our two organisations and reinforcing the products and services we deliver to our customers. This is a very significant step in our growth strategy of the past eight years.”
The heating market is consolidating. According to Martyn Coffey, chief executive officer of Baxi Group and now member of the BDR Thermea Board, forming this new company brings the benefits of consolidation to the European heating market. “This is particularly critical given the context of today’s global economic uncertainties and difficult financing markets.”
The transaction is to be structured as a share for share transaction in which Baxi Group's shareholders (funds advised by BC Partners and by Electra Partners), will invest around €100 million in additional equity in the new group as minority partners with the Remeha Group B.V. holding the majority.