Roca and Royo sign an alliance to create a world leader in bathroom furniture
• Roca Group takes a 75% stake in the Valencian company • With this joint venture, Roca will locate its global bathroom furniture development centre in Valencia
Roca Group has signed the acquisition of a 75% stake in Royo Group, the European leader in the field of bathroom furniture. Roca has purchased 62% of the company from the American fund HIG and the Royo family will continue to hold 25% of the firm’s capital.
Royo Group owns three production plants in Spain and Poland and two innovation centres. The company manufactures around one million pieces of bathroom furniture annually, with a turnover of 95 million euros in 2019 and a workforce of 793 people.
With this operation, Roca Group and Royo create a world leader in bathroom furniture, with a global turnover of over 173 million euros in this segment and a production of close to two million units per year in nine production centres located in Spain, Portugal, Poland, Czech Republic, Russia, China and Brazil. Additionally, Roca Group is consolidating its leadership in the creation of bathroom spaces, increasing its market share in an activity that complements sanitary tile. Roca Group has been advised by Alantra and Broseta in this transaction, which is pending approval by the German and Polish competition courts.
As part of Roca Group’s strategy to set up specialized centres of expertise for different product categories within the bathroom space, Royo Group will become the hub for the development of the furniture segment for Roca Group, while continuing with the commercial development of its brands.
According to Albert Malgrans, CEO at Roca Group, “with this alliance, we reinforce the bathroom furniture category, key in our sector, with the European leader with whom we share the business vision and with whom we have collaborated closely over the last 10 years. This merger will allow us to further increase our competitiveness in the bathroom space and achieve the world’s leadership in this segment.”
Raúl Royo, CEO at Royo Group, highlights that this is “a great strategic alliance through a joint venture between the two companies, that reinforces the maximum possible commitment between both parties”. “The agreement with Roca, one of the largest Spanish industrial groups and a leader in the bathroom business worldwide, will help us to jointly build an even more leading and innovative company, accumulating almost 150 years of history in the bathroom sector between the two families”, he adds.
Roca Group operates in 170 countries with 81 production centres and a workforce of 24.000 professionals worldwide. In 2019 it recorded a turnover of 1.861 billion euros.