ZURICH (Reuters) - Sika (SIKA.S) will pause on making further large scale acquisitions after the Swiss construction chemicals company’s largest-ever deal to buy France’s Parex worth 2.5 billion Swiss francs ($2.55 billion) on Tuesday.
Sika has been linked with the construction chemicals business of BASF (BASFn.DE), which could be worth around 3 billion euros according to analysts, as it seeks to consolidate the fragmented sector.
“We do this [Parex] deal now and we aware it is the biggest thing we have acquired. We have a big plate, there will be a pause,” Chief Executive Paul Schuler told a press conference in Zurich on Tuesday.
When asked about BASF, Schuler said “of course” Sika spoke to all potential targets.
“This is a great company, but we have to finish this job. That is our focus, and see what the future brings. It is not so that we are getting close to a deal for the BASF construction chemicals business.”
Reporting by John Revill, editing by Louise Heavens