Norsilk, a major player in the production of wood for professionals (industrialists, distributors and DIY superstores) on the French market, based in Normandy, has joined 3T France, a specialist in the waterproofing of flat roofs. A new step in its relaunch since its acquisition in 2015 by the investment company Mutares. Both companies now belong to the Donges Group, a building envelope specialist and a subsidiary of Mutares.
A fusion that creates new opportunities
This fusion will give birth to a major player in the wood, roofing and waterproofing sector. It aims to pool complementary expertise in machining, waterproofing and wood treatment, to develop synergies with the world of roofing, particularly in terms of sales and marketing, where distribution networks are different, and to create new development opportunities in both renovation and new-build projects.
Today Norsilk employs approx. 120 people and has revenues of approx. 40 million euros. After the fusion, the new entity will have additional sales staff and a combined turnover of almost 50 million euros.
“This reconciliation, based on a mutual desire for development, is very promising. It enables us, on the one hand, to strengthen our expertise and increase our market presence by offering innovative solutions to our customers and, on the other hand, to benefit from new opportunities for contacts and outlets. A fusion of this type will benefit all our customers.” says Sébastien Cossin, ESB engineer and Chairman and CEO of Norsilk since early 2020.
After the takeover and relaunch by Mutares, this fusion marks a new stage in the renewal of Norsilk. Norsilk, which was in great difficulty after several years of operating at a loss, was taken over by Mutares from the Finnish Metsä Wood Group at the end of 2015.
Since then, with the operating support and financial investment of Mutares, Norsilk has embarked on an ambitious transformation plan that has led the company, under the impetus of a new management team, to rationalise its product range, optimise its stocks, relocate its offices and equip itself with high-performance management tools. These changes were carried out in the context of a constant and open dialogue with the staff and the CSE.
This transformation has led Norsilk on the road to success, since in 2020, for the first time in more than 7 years, and despite a particularly difficult economic climate, the company will generate a positive net result. “The recovery projects carried out jointly by Mutares and the Norsilk team over the last few years have been necessary for the survival of the company, which now relies on a reliable and solid platform, which is essential for its development. For example, Norsilk is now accelerating its return to the DIY superstore sector. This fusion also creates new opportunities and career prospects for the teams in place, whose jobs are now secure,” explains Sébastien Cossin.
“Norsilk is a perfect example of what we aim to achieve with the companies in which we invest in: to put in place a motivated and competent management team, to help them define and implement a new positioning, an ambitious recovery strategy and an industrial plan as well as efficient management tools, and then to support the company, particularly financially. After the integration into Donges Group in 2019, this new phase should enable Norsilk to enter a long-term growth cycle,” said Philip Szlang, Head of Mutares France.
A revival also welcomed by the company’s staff representatives, including Francis Davoine, CGT representative at Norsilk: “In view of the good results at the beginning of 2020, when we look at where we started from in 2015 and the four difficult years that the employees have gone through, there is reason to be satisfied for the company and its future, even if I remain vigilant for the future.” he says.