PPG, a global supplier of paints, coatings, and specialty materials based in Pittsburgh, announced Monday plans to acquire Ennis-Flint, a global manufacturer of coatings, for approximately $1.15 billion.
The transaction is expected to close within the next few months. PPG will provide additional details relating to the acquisition, including financial impacts, during the company’s fourth-quarter earnings conference call in January 2021.
Ennis-Flint, a privately held company in Greensboro, N.C., has a broad portfolio of pavement marking products, including paint, thermoplastics and other advanced traffic technologies.
“The acquisition of Ennis-Flint will further expand our product offering and opportunities in rapidly developing and high-growth mobility technology solutions,” said Michael McGarry, PPG chairman and chief executive officer. “The company is well known for its high-quality products, technical expertise and innovative systems.”
PPG formed a mobility focus team in 2017 to develop mobility technologies and innovative solutions that provide increased functionality and solve new and unique requirements for electric, hybrid, and autonomous vehicles. PPG’s mobility-related products include battery-specific coatings that enhance safety and performance and autonomous vehicle coatings that improve vehicle and infrastructure visibility.
“The addition of Ennis-Flint’s products further enhances our existing mobility technologies in support of increased automotive occupant safety through driver-assisted and autonomous driving systems,” McGarry said.
Ennis-Flint develops its products from facilities in the United States, Europe, South America, and Asia. The company employs approximately 1,000 people globally and its full-year 2020 revenue is expected to be approximately $600 million, with mid-teen percentage EBITDA margins.
“Our products and technologies are excellent complements to PPG’s current product offering, and the ability to leverage PPG’s world-class innovation and broad geographical footprint will provide more growth opportunities for our products and employees in the future,” Matt Soule, president and CEO of Ennis-Flint, said.