Mohawk Industries, Inc. today announced that it has completed its $1.5 billion purchase of the Marazzi Group, giving the Calhoun, Ga.-based floorcovering manufacturer the leading position in worldwide ceramic tile.
Mohawk paid both cash and stock for the Marazzi Group, which last year generated sales of 858 million euros, or nearly $1.1 billion.
Marazzi operates manufacturing facilities in Russia, the United States and Western Europe and sells to more than 100 countries around the world. Marazzi manufactures all types of tile including glazed ceramic, glazed porcelain, technical tile and color body porcelain.
"The Marazzi acquisition continues the expansion of Mohawk's global business and will make us an even stronger company," Mohawk CEO Jeffrey Lorberbaum said in a statement today. "With the combination, we have many opportunities to improve our ceramic performance by leveraging best practices, operational expertise, product innovation and manufacturing assets across the enterprise."
Marazzi holds the No. 1 position in the Russian ceramic market through a unique model that optimizes its total supply chain from manufacturing to distribution to retail.
"The addition of Marazzi will allow us to expand our U.S. distribution, source ceramic tile from our worldwide base, and provide industry leading innovation and design to all of our global ceramic customers," Lorberbaum said.