Hilding Anders,Sweden, is to acquire all shares in the bedding company Tropico, a leading bed and mattress manufacturer in Czech Republic.
Tropico has a production facility and a foam cutting site outside Prague, and a mattress assembly site in Slovakia. Net sales in 2006 amounted to SEK 90 million. The company, established in 2000, has shown a strong sales growth in recent years, doubling turnover since 2003.
"We see a considerable potential in the Czech market", said Anders Palsson, president and chief executive of Hilding Anders. "The consumers' purchasing power in Czech Republic and the surrounding markets is gradually increasing. It has therefore been in our plans to expand Hilding Anders' business in this area, and we are now executing that strategy".
Tropico makes beds and mattresses in the economy and medium segment and will fit well together with Hilding Anders' existing company, Slumberland Ceska, which sells products in the premium segment.
"One of our goals is to become an even stronger participant in the region around Czech Republic,” Palsson added ". The acquisition of Tropico is a step on the way. We are now the clear market leader in all segments in Czech Republic and we see significant opportunities to enhance our position further in the surrounding markets Slovakia, Austria and Germany.”
Tropico is the second acquisition made by Hilding Anders during 2007, and is a part of a tactical expansion strategy.
