Toray Industries Inc., Japan, has reached an agreement with The Netherlands-based Koninklijke Ten Cate BV to acquire TenCate Advanced Composites (TCAC). The transaction is valued at 930 million euros ($1.1 billion) and is expected to close during the second half of 2018.
Toray plans to continue TCAC’s management strategy and investments plans to advance TCAC’s growth, as well as retain key TCAC management personnel.
The purchase will help Toray accelerate growth and expand its high-performance thermoplastic and thermoset composites offerings as well as benefit from revenue synergies. TCAC will gain access to a highly-specified carbon source, which is needed for customer support. The two companies will additionally benefit from combined product development and research and development efforts.
“We are very pleased with [the] announcement and consider Toray a strong partner for us in terms of cultural fit, complementary product and market segment offerings, focus on R&D, and geographical reach,” said Frank Meurs, COO, TCAC.
“The aerospace industry is entering a new growth phase, which requires large investments for continued sustainable growth in this dynamic market,” said Jan Albers, CEO, TenCate. “With Toray we have found the right partner to expand TCAC’s leading role in advanced composites.”