KBA has taken another step on its diversification path with the acquisition of a German direct-to-container decoration press manufacturer.
KBA has bought an 85% stake in Kammann Maschinenbau from German private equity firm Perusa. Kammann’s two managing directors will retain 15% of the business. The deal is expected to be completed within a fortnight.
This latest deal follows KBA's purchase of Italian flexo press manufacturer Flexotecnica in February and ties in with the company's strategy to make targeted acquisitions in "promising print segments".
Marketing director Klaus Schmidt said: "We want to expand our position in the growing and widespread packaging market and Kammann addresses a small but profitable niche in this printing segment."
[Related: Centrum aims to double sales with KBA press]
According to KBA, Kammann is the world leader in glass container printing for the cosmetics and drinks industries. It employs 175 staff and generates sales of €30 million ($43 million), and has been profitable since it was restructured by Perusa.
Kammann manufactures offset and screen presses for directly decorating glass bottles, metal and plastic containers, CDs and DVDs, and flexible narrow-web materials. Its modular machines can also be configured with foiling, digital printing and embossing units.
Premium glass packaging is a growing market and one with high barriers to entry, according to KBA.
Schmidt said KBA had no plans to start manufacturing Kammann presses in its own facilities.
"The design and assembly of Kammann machines will stay at the Kammann site in Bad Oeynhausen. Manufacturing of parts, but not engineering, assembly and service, is mostly outsourced today and this will be the case in the future since it’s less risky," he said.
"Some parts could also be manufactured in other KBA facilities but only if these facilities can compete price-wise with external sources. This is the rule in today’s business environment."
[LinkedIn: Is private equity good for the industry?]
This article originally appeared at printweek.com
Comment below to have your say on this story.
If you have a news story or tip-off, get in touch at editorial@sprinter.com.au.
Sign up to the Sprinter newsletter