DCC enters German LPG market with latest acquisition
Irish company to expand further in Europe with the acquisition of TEGA in Germany.
DCC plc, the leading international sales, marketing and support services group, has announced that DCC LPG has reached agreement with Linde AG to acquire Tega-Technische Gase und GasetechnikGmbH, its LPG and refrigerant gas distribution business in Germany, known as Tega.
Tega has revenue of €75 million evenly split between LPG and refrigerants. The business supplies 35,000 tonnes of LPG annually to 15,000 domestic and commercial customers. It also supplies refrigerant gases to wholesalers and end-users for use in air-conditioning, commercial cooling systems and refrigerators
“The acquisition of TEGA will provide DCC LPG with a platform in thee large, relatively fragmented German LPG market and further strengthens its position in the LPG market in Europe,” said Donal Murphy, Chief Executive of DCC plc.
After the acquisition of Tega and based on acquisition activity to date, DCC will have spent approximately £630 million on acquisitions by the end of this financial year.
“In addition, the acquisition of TEGA provides an entry into the refrigerant gas market further enhancing the service capability of our business, following our expansion into medical and aerosol gases in recent years,” added Murphy.
The transaction is expected to complete before the end of DCC's financial year ending 31 March 2018.
