
Brussels, September 18, 2023 – Villeroy & Boch AG has today signed binding agreements for the acquisition of companies within the Ideal Standard Group. The two companies strategically complement each other, given their regional presence, sales strategies, and strong portfolio of products and brand names, laying the foundation for a stronger position in the market with further growth. In an industry with global growth potential, the unified company, upon completion of the transaction, will become one of the largest manufacturers of sanitary and bathroom products in Europe. The shares of Ideal Standard are being sold by companies under the management of Anchorage Capital Group and CVC Credit. The acquisition price is based on an estimated valuation of the company at approximately 600 million euros.
As a result of the merger, the revenues of the Villeroy & Boch Group in the category of Sanitary & Bathroom Products will double to 1.4 billion euros. Including the Dining & Lifestyle business, this represents an increase to over 1.7 billion euros for the Group as a whole (995 million euros in the 2022 fiscal year). As explained by Frank Göring, CEO of Villeroy & Boch: “This merger means that we will come close to the largest manufacturers in the European market in the Sanitary & Bathroom Products sector in terms of turnover. Our combined advantages also make us more competitive and significantly enhance our initial position for achieving additional growth.”

The advantages of distribution, geographic complementarity, sales channels, and product lines are intertwined.
The merger will create a strong network of complementary existing strategic brand names and sales channels. Villeroy & Boch has a strong geographic presence in Central and Northern Europe, as well as in Asia, while Ideal Standard is a highly recognized brand with a strong portfolio in the United Kingdom, Italy, Greece, and notably in the Middle East/North Africa region. While Villeroy & Boch’s sales strategy primarily focuses on a high-income private residential customer base, Ideal Standard possesses particular expertise in projects, including public sector projects, healthcare, and large-scale construction projects, hotels, and commercial properties. In addition to a wide range of porcelain and other sanitary products, Ideal Standard offers a full range of bathroom fittings, which accounted for over one-third of its revenue in the past fiscal year.

Jan Peter Tewes, CEO of Ideal Standard, states: “Villeroy & Boch and Ideal Standard complement each other in terms of product range and brand recognition and will mutually benefit from their different sales channels. Both companies will play a key role in shaping the future of the industry. We are looking forward to this development!”
In addition to strategic compatibility, Frank Göring highlights the similarities in corporate culture between Villeroy & Boch and Ideal Standard: “We are characterized by strong brands steeped in tradition, and we share similar values. These include a strong focus on high-quality services, a talent for good design, and a continuous effort for innovation. We are excited that the employees of Ideal Standard will become part of our global organization after the completion of the transaction. Our collaborators will benefit from this unified expertise with an expanded offering.”


The new technology opens up growth prospects
With this merger, Villeroy & Boch not only elevates its activities in the sanitary and bathroom products sector to a new level in terms of volume but also gains access to significant additional growth opportunities. Ideal Standard’s expertise in bathroom fittings, its proficiency in project-related endeavors, and its strong positions in the markets of the United Kingdom, the Middle East/Northern Europe, Italy, and Greece will provide Villeroy & Boch with improved market penetration in specific regions and product ranges. These historic brands are now combining their strengths.
“The sanitary and bathroom products industry remains a rapidly growing global market, but it’s a market where economies of scale will become increasingly important to remain competitive and attract future investments. For this reason alone, the acquisition represents the right strategic move for Villeroy & Boch. Furthermore, Ideal Standard is an excellent extension of our own business model. This heralds a new era for the Bathroom & Wellness Division and for Villeroy & Boch as a whole,” says Andreas Schmid, Chairman of the Supervisory Board of Villeroy & Boch.

A prudent, cost-effective transaction
Villeroy & Boch will finance the transaction through existing cash and cash equivalents, as well as debt of approximately 250 million euros. The transaction is subject to customary regulatory approvals and authorizations, as well as the successful acquisition of the bond issued by Ideal Standard International S.A. In contrast to regular retirement and other obligations arising from operational activities, the bond and various financial obligations are not part of the transaction.
“The merger is based on a stable financial structure. Existing debt obligations are not part of the scope of the transaction and will not be assumed by Villeroy & Boch at closing,” explains Villeroy & Boch’s Chief Financial Officer, Dr. Markus Warncke. The transaction is expected to be completed in early 2024.
Deutsche Bank AG served as the financial advisor, and White & Case served as the legal advisor to Ideal Standard.


About Ideal Standard International
Ideal Standard International is a leading manufacturer of bathroom and plumbing products in Europe, the Middle East, and North Africa, offering a wide range of branded products for residential and non-residential markets in over 100 countries. The company manufactures products for all categories in the bathroom and plumbing markets, and its offerings in multiple categories have positioned it as a “one-stop solution” for its customers. Ideal Standard International holds leading positions in the market in many of the largest bathroom product markets in Europe, the Middle East, and North Africa. The company sells its products under a range of well-known international and national brand names, including Ideal Standard, Porcher, and Armitage Shanks.