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PRODUCERS: The merger strategies of the companies, are implemented also in 2016

The mergers and acquisitions between companies is one of the main trend of the post-crisis economic environment, the growth and development of companies through such transactions being still one of the most common ways of expanding companies. In recent years, many multinational groups have opted for this type of development, among recent examples being the already famous cases on construction sector, such as Lafarge - Holcim, SSAB - Rautaruukki, HeidelbergCement - Italcementi etc. Even if international trend slowed in 2016, in Romania there were even recently three new cases of such transactions, such as the transfer of the two factories of expanded polystyrene held by the Romanian producer Arcon in Bucharest and Sfantu Gheorghe (Covasna county), that were divested to the Austrian producer Hirsch Gruppe. The Austrian producer of insulation materials, Hirsch, has consolidated its activity in Romania through the acquisition, after it also took over the expanded polystyrene factory sold by the Romanian company Energoterom, after its bankruptcy. The plant is located in Giroc (Timis county). Previously, Hirsch had an EPS thermal insulation factory in Cluj-Napoca, having a capacity of 300,000 cubic meters/ year and one in Oradea, which can produce about 800 tons of EPS packaging a year. The acquisition of the two insulation plants in Bucharest and Sfantu Gheorghe, together with the recently purchased factory in Timisoara and its own facility in Cluj-Napoca will make Hirsch the second largest insulation manufacturer in Romania, in the future. "The market for insulation in Romania is performing well and has generated good revenue and growth for Hirsch since market entry in 2006. In addition, given the excellent geographical location of the sites in combination with the experienced workforce, we also expect positive synergy effects for the Packaging division", said Harald Kogler, CEO of HIRSCH Servo AG.

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