Sika AG Chairman Paul Hälg said he now expects faster growth at the company and that it could spend up to $1 billion on acquisitions as the specialty chemicals producer moves beyond an ownership battle, Reuters reported.
The Swiss company last month ended a drawn-out control dispute with its founding Burkard family and rival Compagnie de Saint-Gobain AG, which had been holding the company back from big purchases.
Hälg said Sika could now spend CHF300 million to CHF500 million a year on takeovers, up from the previous CHF200 million, and could also spend up to CHF1 billion in exceptional cases. Sika will mainly look at targets in Europe, North and South America, and Asia while continuing to make smaller deals globally, he added.
"We will be more dynamic and set a higher priority on acquisitions. We want to be a consolidator in our industry," Hälg said.
Apart from dealmaking, the company will also aim to accelerate its organic growth in China, India and Brazil, the chairman added.
"I am optimistic we will see more dynamic growth than in the past," Hälg said. "I don't want to give an exact number, that is something for management, but sales growth higher than 10 percent should be possible."
