Hempel spins off its JW Ostendorf and Renaulac businesses to Fidelium Partners

Hempel announced the signing of an agreement to divest its JW Ostendorf and Renaulac businesses in France and Germany to Fidelium Partners, subject to relevant approvals.

The sale of Hempel's main private label business marks the next step in its ambitious growth strategy and will focus its strategy on growing its branded business in the decoration customer segment.

Hempel acquired major private label businesses JW Ostendorf and Renaulac in 2018. Hempel has since built its portfolio of decorative brands through further acquisitions. This now makes up the bulk of Hempel's decorative division. The company includes Farrow & Ball, Crown Paints, Hempel and Wattyl.

"In order to realize Hempel's ambitious dual impact strategy, we have made the strategic decision to focus on the full-service Deco brand within the decoration segment," said Ana Henriques, Executive Vice President and Head of Decoration at Hempel A/S.

"The result of this focus was the sale of JW Ostendorf and Renaulac. In Fidelium Partners we have found a committed new potential owner who has a long-term interest in growing the business. We believe that we have found a good new home for approximately 500 colleagues from JW Ostendorf and Renaulac," Henriques added.

The sale is expected to close in the third quarter of 2024, pending relevant approvals. Under the terms of the purchase agreement, transaction details will remain confidential.