Çimsa Signs Agreement to Acquire Mannok, Strengthens Focus on UK and Ireland

NEW YORK, NEW YORK, UNITED STATES, September 3, 2024 /EINPresswire.com/ -- Çimsa, a global building materials company operating as a subsidiary of Sabancı Holding, has taken a significant step in its global expansion strategy by signing an agreement to acquire 94.7% of Mannok Holdings DAC, a leading building materials producer based in Ireland. Following expansions in Spain and the USA, this agreement marks Çimsa’s third major global initiative in the past three years, reinforcing its commitment to becoming a leading player in the UK and Irish markets and supporting the vision of “Sabancı of the World.”

This move is part of Çimsa’s broader transformation strategy, which it defines as “From Cement to Building Materials,” “From Local to Global,” and “From Grey to Green.” Mannok, a company with over 50 years of experience and a strong presence in the UK and Irish markets, will enhance Çimsa’s product portfolio, diversify its production geography, and strengthen its local and global supply chains.

Following approval from authorities, this acquisition will also contribute to Çimsa's goal of generating 70% of its revenue in foreign currencies, thereby enhancing its balance sheet quality and enabling the company to make more strategic long-term plans.

Commenting on the agreement, Burak Orhun, President of Sabancı Holding’s Material Technologies Group, stated: “The acquisition of Mannok, once finalized, will be perfectly aligned with our transformation strategy. It allows us to expand our footprint in the UK and Irish markets, which are critical for our growth. By incorporating Mannok’s advanced product lines, we can offer more diversified and value-added solutions to our customers. This acquisition also supports our goal of transitioning our portfolio from grey to green, in line with our commitment to sustainability.”

Çimsa CEO Umut Zenar emphasized the potential impact of the acquisition for both companies: “We believe this agreement marks the beginning of a new era for Mannok. We are committed to preserving the existing workforce and creating new employment opportunities in the region to support Mannok’s further growth under the current strong local leadership team. As a company that places talent management at the core of our human resources philosophy, we will implement comprehensive talent development programs for Mannok’s employees. This acquisition opens up a new world for them, integrating them into the Sabancı ecosystem, where they will gain new skills and become part of a broader network under the ‘Sabancı of the World’ vision. Together, we aim to create a brand recognized in the region for its rapid growth, customer-focused solutions, and leadership in innovation, sustainability, and digitalization.”

Mannok operates in two main business segments: building materials and packaging products. With manufacturing facilities in the Republic of Ireland and Northern Ireland, and a comprehensive sales and distribution network across the Republic of Ireland, Northern Ireland, and Great Britain, Mannok is well-positioned as one of the regional leaders in the industry. The company offers a wide range of products, including cement, cement-based products (such as roof tiles, precast, and concrete), insulation materials, and sustainable plastic packaging, employing over 800 people.

Mannok is a prominent regional player in its industry sectors, recognised not only for its production capabilities and geographic advantages, but also for its commitment to sustainability. The company has made significant strides in energy efficiency, saving 59 million kilowatt hours of energy at its grey cement plant by early 2024, thanks to efficiency investments initiated in 2017. Mannok’s sustainability strategy aligns closely with Çimsa’s, including adherence to the Science-Based Targets initiative (SBTi) and participation in the European Union Emissions Trading System (EU ETS). This synergy will enable unified management of emissions across Çimsa’s international operations, furthering the company’s leadership in alternative fuel technology and circular economy practices. Çimsa is setting global standards in alternative fuel usage, and Mannok's UK recycling expertise will help boost this from 30% to 40% by 2030, positioning the company as a pioneer in the circular economy.

About Sabancı Holding:
Having its roots back in 1925, Sabancı Holding was founded by Sabancı Family and became one of the most-recognised company groups over the years developing market leading brands in Turkiye. Since 1997, Sabancı Holding has been listed on Borsa Istanbul, Turkish stock exchange. The Sabancı Family jointly controls Sabancı Holding as a majority shareholder, while 50.47% of the Holding’s shares is publicly traded.

Sabancı operates in 14 countries across 5 continents, serving more than 40 million customers and providing employment for over 60,000 people. It is engaged in a wide range of business activities across cement and building materials, energy and climate technologies, banking and financial services, industrials, retail, and digital.

About Çimsa:
Çimsa, a subsidiary of Sabancı Holding, was founded in Mersin in 1972. Today, Çimsa carries out its manufacturing operations via its three integrated factories in Mersin, Eskişehir and Afyonkarahisar, Turkey, an integrated cement plant in Bunol, Spain, a cement grinding facility in the USA and terminals in Germany, Spain, Italy and the TRNC.
Çimsa is one of the leading global brands in white cement and sustains its global operations through Sabancı Building Solutions, a company founded by integrating the operational capability of Çimsa with the financial strength of Sabancı Holding, Çimsa’s main shareholder.

Yeliz Kazan
Sabancı Holding
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