Tennant to buy Italian cleaning equipment maker
Tennant Co. recently announced that it will acquire IPC Group - a privately-held designer and manufacturer of commercial cleaning equipment in a $350 million cash deal - the largest acquisition in Tennant's history. Golden Valley-based Tennant - the maker of industrial, institutional and commercial floor-maintenance and surface-cleaning equipment - signed an agreement with private equity fund Ambienta to acquire IPC Group. The acquisition expands Tennant's product portfolio to cleaning tools and supplies.
IPC, which is based near Venice, makes water and steam-cleaning equipment. "Acquiring IPC Group is a strategic move that aligns with our growth aspirations," said Chris Killingstad, Tennant President and CEO, in a statement. "IPC Group significantly increases our presence and market share in Europe, and more than doubles Tennant’s current EMEA business. We will gain the scale to accelerate both Tennant’s and IPC Group’s growth, and better leverage our cost structure in EMEA. Importantly, our businesses are highly complementary and differentiated in our geographies, products and go-to-market approach.”
Italy-based IPC Group generated $203 million in sales last year and more than 80 percent of the company's business is concentrated in Europe. IPC Group sells its products under the brand names IPC, IPC Foma, IPC Eagle, IPC Gansow, ICA, Vaclensa, Portotecnica, Sirio and Soteco, Readysystem, Euromop, and Pulex. Both companies’ brands will continue to operate in their respective markets, according to a release. “We intend to market both the Tennant and IPC Group brands as part of our multi-brand portfolio," Killingstad. "IPC Group is a growing and profitable business with a strong management team and we are excited about our combined potential.”