Business
Coperion was formed in 2000 by the merger of three complementary businesses (Werner & Pfleiderer GmbH, Waeschle GmbH and Buss AG) which provided compounding and extrusion systems and services to the plastics and chemicals industries.
All three businesses had a history of underperformance, a lack of strategic direction and weak financial management.
Market
Our research predicted long-term growth in advanced materials and plastics compounds, with rising customer demand for sophisticated systems, aftersales and services.
Strategy
Following the merger, our strategy was to create the global market leader with long-term, high quality earnings by:
- Investing in operational improvements, organic growth and market consolidation
- Driving performance, company investment and net cash flow
- Developing an aftersales and service division to enhance income and earnings growth
- Entering new markets in central Europe and BRIC countries
Outcomes
Coperion invested more than €20 million in streamlining its infrastructure and operations. The group completed three further add-on acquisitions, built its international network of aftersales and service operations by opening 30 new service sites worldwide and the service division grew to be the largest contributor to group profits.
The business entered several complementary new product and service markets, sales grew to more than €500 million and EBITDA then doubled to over €50 million.
Coperion was acquired by Deutsche Beteiligungs AG in July 2007. The business remains the clear global market leader in compounding and extrusion systems and services.