Kadant Inc. (NYSE: KAI) announced today that it has completed the
acquisition of Companhia Brasileira de Tecnologia Industrial (CBTI) for
approximately Brazilian reals (BRL) 16 million in cash, or USD $8
million. CBTI is a long-time licensee of Kadant’s doctoring, cleaning,
filtration, and stock-preparation products and is also a supplier of
industrial drying systems.
“I’m delighted that CBTI has joined Kadant,” said Jonathan W. Painter,
president and chief executive officer of Kadant Inc. “The acquisition of
CBTI significantly increases our presence in the important South
American market and advances our overall strategy of expanding in the
faster growing developing economies where per capita usage of paper
products is relatively low. We’ve had a productive and rewarding
relationship with CBTI for over three decades, and I look forward to
continuing to work with the CBTI management team in the years to come.”
CBTI, based in Valinhos, Sao Paulo, was founded in 1982 and is a
well-established supplier to the pulp and paper and other industries in
Brazil, Chile and Argentina. Over the last five years, CBTI has averaged
annual sales of approximately BRL 33 million.
About Kadant
Kadant Inc. is a leading supplier to the global pulp and paper industry.
Our stock-preparation; fluid-handling; and doctoring, cleaning, and
filtration products are designed to increase efficiency and improve
quality in pulp and paper production. Many of our products, particularly
in our fluid-handling product line, are also used to optimize production
in other process industries. In addition, we produce granules from
papermaking byproducts for agricultural and lawn and garden
applications. Kadant is based in Westford, Massachusetts, with revenues
of $332 million in 2012 and 1,600 employees in 17 countries worldwide.
For more information, visit www.kadant.com.
The following constitutes a “Safe Harbor” statement under the Private
Securities Litigation Reform Act of 1995: This press release contains
forward-looking statements that involve a number of risks and
uncertainties, including forward-looking statements about our products,
technologies, and customers. Our actual results may differ materially
from these forward-looking statements as a result of various important
factors, including those set forth under the heading “Risk Factors” in
Kadant’s annual report on Form 10-K for the period ended December 29,
2012. These include risks and uncertainties relating to our dependence
on the pulp and paper industry; significance of sales and operation of
manufacturing facilities in China; commodity and component price
increases or shortages; international sales and operations; fluctuations
in our exchange rates; competition; soundness of suppliers and
customers; our effective tax rate; future restructurings; soundness of
financial institutions; our debt obligations; restrictions in our credit
agreement; our acquisition strategy; protection of patents and
proprietary rights; failure of our information systems or breaches of
data security; fluctuations in our share price; and anti-takeover
provisions. We undertake no obligation to publicly update any
forward-looking statement, whether as a result of new information,
future events, or otherwise.