Sika AG is to acquire the Belarus foam systems manufacturer Belineco LLC, the Swiss based chemical company has announced.

The acquisition represents an opportunity for both companies to gain better access to Eastern European distribution and Sika looks to increase it’s expertise in development and production of polyurethane foams. Belineco alone current generates around €20million in annual sales.  The anti-trust authorities have yet to approve the deal. 

The city of Brest, located in the far west on the Belarus-Polish border is a free-economic zone and therefore an important gateway to the EU.  It is currently home to Belineco and the company has used its position to build up a solid market base in Russia as well as in Belarus.  It’s position in Brest has allowed it to produce polyurethane foams and other products and increase its sales via the Eastern European trade distribution channels.  

Last year Sika acquired the Swiss company Polypag, another polyurethane foam manufacturer. This latest acquisition will see Sika improving its product range and supply, and will open up cross-selling opportunities by combining Belineco foams and Sika's roofing and facade systems into one portfolio.