Holcim finalizes purchase of Cooper-Standard business unit

NORTHVILLE, Mich.—Holcim Group's vision for growth continues to take shape, particularly through acquisition.

Turns out, the company is growing again.

Holcim on Aug. 2 acquired the Mannheim, Germany-based Cooper Standard Technical Rubber GmbH business from Cooper-Standard Automotive Inc., bringing into the fold further rubber product manufacturing and expertise related to sheeting, compounding and flooring. The business will be nestled into Holcim's existing roofing business.

For Holcim, this acquisition is further proof of its aims to grow both organically and through acquisition, establishing a strong global presence in construction-adjacent end markets.

"With CSTR we are further expanding our roofing platform in Europe," Jamie Gentoso, global head of Solutions and Products for Holcim, said in a statement. "… By expanding our roofing systems offering, we can play a bigger role in providing innovative and sustainable solutions for energy-efficient buildings and contribute to the green deal of the European Union."

Plus, the acquisition just makes sense for Holcim. In a news release, the company noted that the two businesses complement each other well. This is true of the "innovation-driven" approaches of both companies, but also the geographic locations. With CSTR located in the Rhine-Neckar area, it helps Holcim solidify its presence and offerings in Europe, particularly with another recent acquisition—FDT Flachdach Technologie GmbH, a player in the thermoplastic roofs.

Terms of the sale were not disclosed.

Holcim intends to continue CSTR's existing business activities and serve its existing customer base while expanding its business under the new name of Holcim Technical Solutions and Products GmbH.

CSTR employs about 130 and its R&D and manufacturing experience should help Holcim expand business, particularly in Europe, Cooper-Standard said.

"Cooper-Standard is committed to our Technical Rubber team and ensuring a smooth transition for our employees and Holcim," Ramsey Changoo, Cooper-Standard vice president and managing director of the Industrial and Specialty Group, said in a statement. "Holcim is an ideal partner for this transition as it is focused on further growing the business and leveraging the expertise of the Technical Rubber team toward future success."

Holcim is among the largest rubber products makers in the world, ranking as No. 12 on Rubber News' most recent list of global non-tire rubber products makers with sales of around $2.2 billion in 2022. It made a big splash when it entered the market with its April 2021 purchase of Firestone Building Products' roofing business.

And if its vision for growth takes shape, it likely will climb the ranking.

Take, for instance, the Building Envelope division, which is expected to hit $4 billion in global roofing product sales by 2025. Should it achieve that aim, it is likely to take its place near the top five.

Cooper-Standard, meanwhile, ranks No. 9 globally, with 2022 sales of around $2.4 billion.