CTB, Inc. Announces Agreement To Acquire German Hog Equipment Manufacturer Laake GmbH
MILFORD, Ind., U.S.A., November 14, 2006 – CTB, Inc. today announced that it has signed a definitive agreement to purchase Laake GmbH (www.laake.com). Laake is a designer, manufacturer and marketer of sow gestation and farrowing stalls, including a line of free-access gestation stalls for sows providing animal-friendly solutions for the hog production industry. In addition, Laake produces stables, paddock doors and feeders for the equine market. Laake is based in Langen, Germany. Completion of the acquisition is subject to regulatory approval. The transaction is expected to close by early January 2007. Financial terms of the transaction were not disclosed.
The acquisition includes a 4,200 square meter (45,000 square foot) manufacturing facility currently under construction in Herzlake, Germany. CTB will also lease the current Laake facility in Langen. The acquisition announcement comes five months after the two companies announced a marketing agreement giving CTB exclusive rights to Laake sow stalls in the United States and Canada. The combination of the two companies is expected to allow CTB to leverage its existing global business sales channels to increase its presence in the worldwide hog production equipment market while also enabling it to enter the equine market with high quality products and a reputation to match.
Laake, a family-owned business, was founded by Johannes Laake in 1930, then handed over to his son Hans who served as president and business developer. Ownership passed to Hans' wife Agnes and son Bernard this summer following Hans' death.
Victor A. Mancinelli, president and chief executive officer of CTB, remarked, "Laake is well known for its innovative designs which have resulted in a quality product offering to the hog production and horse industries. Our brief working relationship has proven the value of the Laake group and made more apparent the global opportunities in combining the companies. It is our intent to capitalize on those opportunities immediately." Bernard Laake, director of international development for Laake, said, "We are thrilled to extend our relationship and become a member of the CTB family of companies because of the significant growth opportunities available to Laake in leveraging the reputation and resources of CTB." Mrs. Agnes Laake added, "I am very pleased to have our company in such good hands. My husband would have approved."
CTB, Inc. is a leading global designer, manufacturer and marketer of systems and solutions for the poultry, hog, egg production, and grain industries. Its products focus on improved efficiency in the care of poultry and livestock as well as on grain storage, conditioning and handling. Founded in 1952, CTB has been dedicated to product leadership throughout its history. It operates from multiple locations in the U.S.A. and Europe and serves its customers through a worldwide distribution network.
The company's web address is www.ctbinc.com. For more information, contact Don Steinhilber, Vice President and Chief Financial Officer, CTB, Inc., (574) 658-5306.