Gypsum industry news

US: USG has rejected a proposal by Germany’s Knauf to buy all of its shares for US$42/share in cash or for around US$5.9bn. Jennifer Scanlon, president and chief executive officer of USG, described the offer as ‘wholly inadequate’ and said that it ‘substantially’ undervalued the company. She added that USG had discussed the proposal on the telephone with Knauf in December 2017 and met in mid-March 2018. Knauf submitted a revised proposal around the same time.

Belgium: Serge Azais has retired from Knauf Group. The 67-year old’s most recent posting was as the chief executive officer (CEO) for the Western Europe and Latin America Region. He has been succeeded by Dominique Bossan, a French national, who was previously responsible for the development of the Central Europe Region for Knauf Insulation.

Azais was successively the Managing Director of Isolava in Belgium, then Managing Director of Knauf Belgium before joining the Knauf Group Management Committee in 2010. Azaïs also took over responsibility for the European Gypsum Industry as president of Eurogypsum in 2006 and 2007. He retires after spending more than 40 years in the plaster industry, including 27 years with the Knauf Group.

Uzbekistan: Knauf Gips Bukhara has suspended production of gypsum wallboard at its plant in Bukhara until 1 March 2018 while it builds a new production line. The upgrade is planned to increase the unit’s production capacity by 30%. It was originally scheduled for completion in 2017. Knauf has spent Euro40m on the project.

Belarus: Knauf Gips plans to invest around Euro70m in a gypsum wallboard plant at Gatovo near Minsk. The decision follows the announcement that Knauf has acquired a 50% share in the charter capital of Volma’s operations in Belarus, according to the Belarusian Telegraph Agency. Knauf arranged to become a joint-owner of Belgips with Russia’s Volma in early 2017

Construction of Belgips’ new plant started in late 2015. Once completed the unit plans to produce 30Mm²/yr of gypsum wallboard, 0.5m²/yr of gypsum partition blocks and 0.1Mt/yr of dry building mixtures. Products made at the plant will be used domestically and for export.

Mexico: Gabriel Pérez Kohler has been appointed as the general manager of Knauf Mexico. Kohler is a graduate of the University of Texas and was previously the general manager at Strategic Media. He holds 18 years of experience in the construction industry in Mexico, including a number of jobs and projects for business growth in the country of Black & Decker, Sherwin Williams and USG amongst other companies.

Germany: Prof. Dr. Hans-Ulrich Hummel died on 18 August 2017 at the age of 63. Prof. Dr. Hummel had worked at Knauf since 1992 and led its research and development activities for more than 20 years. Most recently he was responsible for the Product Management, Patent Management and Quality Management departments of the Knauf Group.

A Knauf press release stated that his strong interest in new topics and his visionary ideas inspired his colleagues and carried the company forward in the technical and scientific fields. It added that he contributed decisively to the success of the Knauf Group with his future-oriented developmental work and great personal commitment and that he was a respected and appreciated leader, who was always receptive to the matters of his colleagues. Knauf said that it was 'highly grateful' to Prof. Dr. Hummel and that it would continue to honour his memory.

Prof. Dr. Hummel was Global Gypsum 'Personality of the Year' 2010.

Image source: Knauf website (adapted).

Australia: After a construction period of just 11 months, the US$55m Knauf gypsum wallboard factory at Bundaberg, Queensland has produced its first wallboard. The plant received its first delivery of gypsum at the plant in late July 2017.

Australia: The Port of Bundaberg has received its first shipment of gypsum for the new Knauf Plasterboard wallboard plant that has been built there. The US$55m plant has recently been constructed at the port, according to Australian Government News. The port expects to receive a gypsum shipment every two to three months from now on. The wallboard plant is expected to officially open in August 2017.

Tanzania: Knauf plans to invest an additional US$5m in a production site in Mkuranga district. The German company has already invested US$10m into the unit, according to the Citizen newspaper. The company started operations in the country in 2014 and it employs over 150 people. It is its first unit in Sub-Saharan Africa.

Zachopoulos Georgios, the managing director for East Africa, said that the subsidiary sources most of its raw materials locally and that it mines gypsum in the south of the country. He added that the company is focusing on promoting regular gypsum boards of 9mm and 12mm and boards of 12.5mm for moisture-resistance and fire resistance for the East African region. It will also offer other products from its portfolio, including related powder, steel sections, screws and tape offerings. The company exports 8% of its production at present and it hopes to increase this to 20 – 30% in the coming years.

Mexico: PPG has completed its sales of its Plaka plasterboard and cement-board business to Knauf. No financial value for the deal has been disclosed. PPG originally purchased its Plaka business in 2014 when it acquired Consorcio. The company produces wallboard, plasterboard and cement board primarily for the Mexican market.