Looking to reinforce its position in emerging countries, French manufacturer Legrand has acquired Estap, manufacturer of VDI enclosures and cabinets in Turkey,
The move underscores Legrand's accelerating expansion on emerging markets, which accounted for 50% of its organic growth in 2007.
Deriving close to 60% of sales from exports, in particular to Eastern Europe and the Middle East, Estap also consolidates Legrand's positions on these markets.
In addition, this acquisition enables Legrand to continue expansion in VDI systems for commercial applications, a market where Legrand's sales showed a double-digit rise in 2007. In this area, Legrand says Estap brings it a new production base that will allow it to accelerate the development of its VDI business on markets in Eastern Europe and the Middle East with the support of its existing sales network.
Estap reported sales of more than €22 million in 2007, with an increase of more than 40% from the previous year.
Legrand had sales of €4.1billion in 2007, including 25% in emerging markets.