Interface, an Atlanta-based flooring firm focused on carpet tiles, plans to buy a German leader in rubber floor coatings for $420 million.
Interface officials say the plan will result in a stronger, more growth-oriented company that will be more diverse both by location and product offering.
Nora Systems, based in Weinheim, Germany, had sales of €229 million (about $266 million) last year and 1,100 employees spread across 15 global offices. The combined entity’s geographic sales balance will tilt slightly more toward Europe and Asia (versus North America) and will be much less reliant on the office market. Nora’s sales operation reaches into 80 countries.
While smaller than the segments Interface plays in — carpet tile and luxury vinyl tile — rubber is one of the fastest growing segments, making up about $1 billion of the $34 billion commercial flooring market, according to Interface.
Interface will buy 100 percent of Nora in an all-cash transaction, using a term loan issued under an existing credit facility.
Interface had nearly a billion dollars in 2017 revenue.
