Henkel and Wetherby Laroc have entered a strategic partnership by forming a joint venture intended to “leverage synergies and accelerate the growth of high-performance building products and façade systems.”
As part of this partnership, Henkel — billed as a global leader for adhesives, sealants and coatings — has signed an agreement to become the majority shareholder of Wetherby Laroc, itself a UK-based manufacturer of brands including ecorend and Wethertex with manufacturing and operational facilities in North Yorkshire.
The joint venture will enable both companies to grow their core businesses by “combining Wetherby Laroc’s strong local brands and market presence” with Henkel’s “global innovation and technology capabilities.”
The statement describes the European market for façade solutions as “highly attractive due to a strong demand for energy efficient buildings, modernisation of ageing housing stock, and increasingly strict sustainability regulations that require high-performance exterior systems.”
It continues: “Within this landscape, the UK stands out as a particularly compelling growth opportunity, driven by its large renovation market, and ongoing investment in residential and commercial construction.”
Accordingly, the partnership with Wetherby Laroc will enable Henkel “to serve the local market by offering customers a broader portfolio of premium, certified façade solutions, while establishing a solid joint foundation for expansion across Europe.”
Piotr Ciborowski, Vice President Construction Eastern Europe at Henkel Adhesive Technologies, explained: “We are delighted to enter a joint venture partnership with Wetherby Laroc, which will enable us to create a sustainable future with builders through unmatched expertise, superior quality, and leading innovation.
“Our combined solution portfolio and expertise address critical business challenges and empower customers to transform legacy housing stock into energy efficient buildings, contributing to significant sustainability improvements and cost-saving potentials. Based on our joint distribution network and trusted brands we aim to accelerate market innovation with focus on the UK and laying the foundation to meet future needs of our European customers as well.”
Alex Chalmers, Managing Director at Wetherby Laroc, added: “My vision for the future has always been clear: to be market-leading in every aspect of our business and operations, while building a culture driven by continuous improvement and sustainable growth. I am very proud and excited to be entering into this joint venture partnership, which brings together two family businesses with complementary strengths and a shared ambition for growth and innovation, while delivering long-term value to our customers.
“By combining the expertise, resources and capabilities of both organisations, we are creating a stronger and more resilient business with enhanced innovation and technology. This partnership will create strategic synergies for accelerated growth by expanding our products, systems and categories enabling us to deliver a broader and more compelling product and system offering for customers and supports our continued investment in future growth.”
The transaction is closed and completed, and the companies agreed not to disclose financial details of the transaction.
