Kingspan Group plc entered into an agreement to acquire a 51% stake in STEICO SE (XTRA:ST5) from Schramek Gmbh for approximately ?500 million on July 17, 2023. The initial consideration for the shares will be ?35 per share, plus potential deferred consideration of up to a further ?35 per share contingent on achievement of specified thresholds with a material uplift in profitability. Kingspan has a put/call option to acquire an additional 10.1% stake in STEICO.

The acquisition is conditional on regulatory clearance and is expected to complete in early 2024. The acquisition is expected to be earnings neutral initially, based on Kingspan consensus EPS for 2023 and Steico guidance for 2023. Lazard acted as financial advisor to Kingspan Group.

HSBC Holdings plc (LSE:HSBA) acted as financial advisor to Schramek Gmbh. As of November 17, 2023, STEICO SE was informed that Kingspan Group PLC that it has received approval from the competition authorities for the acquisition of a majority stake in STEICO SE. Kingspan has now received unconditional regulatory clearance in relation to the acquisition of a majority stake in Steico.

The transaction is expected to be completed in early January 2024.