Dubai: RAK Ceramics, one of the biggest regional names in the category, is buying out the Kludi Group, a 100-year old German company specialising in high-end kitchen and bathroom faucets as well as showering systems. Kludi Group’s latest annual revenues are at around 120 million euros.
The RAK Ceramics' takeover has been set at 39 million euros. It will also cover the 49 per cent in the Kludi RAK joint venture. With this, RAK Ceramics – which recently came out with solid financials for 2021 – plans to expand its product and operational reach into Europe. The company’s existing strengths are in the UAE and Saudi Arabia, as well as India and Bangladesh, where it has manufacturing capacities.
According to Abdallah Massaad, Group CEO at RAK Ceramics, "It (the deal) provides RAK Ceramics with the opportunity to spearhead our expansion into European markets and enhances our positioning in projects across the sanitaryware and faucets business. The acquisition opens up new opportunities for Kludi Group as we aim to develop this historic and established European faucet brand further by funding its strategy.”
Apart from Germany and UAE, Kludi's manufacturing interests are also there in Austria and Hungary.