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Eczacıbaşı buys 51% stake of Villeroy&Boch Tile Division

Eczacıbaşı buys 51% stake of Villeroy&Boch Tile Division

Eczacıbaşı, seeking to enhance its power and effectiveness in international markets, purchased 51 % stake of Villeroy&Boch Tile Division which is the world’s oldest and well known ceramic brand Villeroy&Boch AG’s subsidiary in the field of ceramic tiles.

With the agreement signed in Istanbul on Monday, March 26, 2007, all production and marketing operations of Villeroy&Boch Tile Division will be conducted by Eczacıbaşı. Presently, effecting one half of ceramic tile exports made from Turkey to Germany, Eczacıbaşı raises its ceramic tile production capacity to 35 million square meters with this agreement, increasing its ceramic tile market share in Germany to 10 % and its ceramic tile market share in Central Europe to 5 %.

Production facilities owned by Eczacıbaşı in the field of ceramic tiles will go up to eight in total with Villeroy&Boch Tile Division’s two factories in Germany and one in France. Eczacıbaşı, whose net ceramic tile sales will go up to 300 million Euros and the number of employees of which will rise to 2500 with this purchase, will rank second in the German ceramic tile market.

Eczacıbaşı Holding Chairman of Board of Directors Bülent Eczacıbaşı, speaking at the signature ceremony held at Istanbul Modern, stating that they added Villeroy&Boch to Eczacıbaşı Building Group brands comprising VitrA, Artema and Engers, added; “Considering that Villeroy&Boch is a world brand recognized as the representative of quality in the building sector with 259 year experience, I believe that this initiative is one of the best indicators of the points we reached and horizons we can go to in global competition.

The foundation of the oldest and well known ceramic brand in the world Villeroy&Boch AG dates back to 1748. The enterprise, with an annual volume of 1 billion Euros, is engaged in three main lines of business, being the bathroom group, tableware and ceramic tile. Villeroy&Boch, joining traditional and innovative approaches, is recognized as the best known ceramic brand in the world.