The Swedish company Gas Control Equipment (GCE) is now the second largest player within the equipment for industrial gas applications in Russia following the deal and increases GCE’s annual turnover to approximately €120m - an increase of more than 10%.
In the transaction GCE acquired parts of the Russian company ZAO Tradehouse Krass, and their head office in Saint Petersburg. GCE takes over 45 employees based in Moscow and Saint Petersburg. GCE also gets the exclusive right to a product range that completes and, in an efficient way, broadens GCE’s existing product offer.
“ZAO Tradehouse Krass has an extensive network of 2,000 distributors. This gives us an excellent platform and means that we are considerably increasing our total market penetration in Russia and the countries in the former Soviet Union,”
says GCE’s CEO and President, Michael Hermansson.
“At the same time we now have an exclusive right to 1,500 products, with all necessary Ghost approvals. It gives us the opportunity to introduce these products in the GCE network in other regions of the world - primarily South America and Eastern Europe.”
The products are primarily cylinder regulators, welding torches and accessories.
“GCE has an expressed strategy to grow in growth markets and has, during recent years, increased its presence in China and India. This acquisition gives us a strong position in another of the BRIC-countries and is therefore well in line with our own growth strategy,” says Michael Hermansson.