IMI buys German valves firm

25th Oct 2010 08:05

Engineer IMI is buying Zimmermann & Jansen, a German severe service valves and related flow control products firm, for an enterprise value of €135m.The British company wants to merge Z&J, which supplies steel mills, petroleum refineries and the chemical industry, into its Severe Service division that focuses on the oil and gas markets, and power generation. "The use of IMI's global sales and aftermarket infrastructure is expected to improve Z&J's geographic penetration," IMI believes. The Germans already make 40% of their sales in emerging markets like Russia, India and China. In 2009, it reported €125m of revenue and underlying operating profit (EBIT) of €15m. "Zimmermann & Jansen's activities in the Refining and Petrochemical and Iron and Steel markets open up a number of new niche opportunities for the combined business, as does their emerging market exposure, which together should help drive future growth," IMI chief Martin Lamb said.