Caesarstone Acquires Omicron Granite & Tile
CHARLOTTE, N.C. – In a multi-million dollar deal, Caesarstone is the new owner of U.S. stone supplier Omicron Granite & Tile.
Caesarstone Ltd. announced this morning that it acquired Pompano Beach, Fla.-based Omicron in a transaction with an enterprise value of $27 million, including approximately $6 million in debt.
Omicron, a leading supplier of stone and other surfaces, owns and operates 17 showrooms and indoor warehouses across the Southeast and Ohio Valley regions of the United States.
“This acquisition enhances Caesarstone’s value to customers and consumers as Omicron’s geographic footprint will further extend our distribution initiatives and drives our ability to accelerate growth in these two key markets as we work toward exceeding our goals in 2021 and beyond,” said Ken Williams, Caesarstone North America president. “We are thrilled to find a strong strategic partner with Omicron, whose high-performing teams and strong customer base fit seamlessly in our accelerated growth plans.
Yuval Dagim, Caesarstone CEO, noted that the Omicron deal is part of company’s “aggressive M&A,” which also includes the majority-stake purchase of Lioli Ceramica, a porcelain-panel producer in India.
“Omicron represents our second acquisition in the last several months, and is directly aligned with our strategic pillar of global-footprint expansion, to provide better service to our customers while improving our logistical efficiency,” he said. “As we integrate Omicron, we expect to further leverage Caesarstone’s existing sales force and world-renowned brand to enhance our customer reach and capture additional market share in several attractive U.S. regions.”
“Over the past several months I have been working closely with the Caesarstone leadership team to ensure a smooth and positive transition for our employees, customers, and suppliers,” said Fred Cohen, Omicron president. “We look forward to joining the Caesarstone organization.”
Omicron’s locations include Miami, Pompano Beach, Riviera Beach (West Palm Beach), Orlando, Fort Myers, Naples, Tampa, Sarasota, Melbourne, Jacksonville and Panama City Beach in Florida; Columbus, Solon (Cleveland) and West Chester (Cincinnati) in Ohio; Harahan (New Orleans), La.; Loxley (Mobile), Ala.; and its newest facility in Novi (Detroit), Mich.
“Combining these two organizations will unlock synergies that create value for all internal and external stakeholders, and further opportunities to grow the Caesarstone brand,” Williams added
Caesarstone noted that, on a pro forma basis, Omicron was profitable and would have contributed over $50 million in revenue to the company’s 2020 results.
Caesarstone Ltd., based in MP Menashe, Israel, produces its namesake quartz surfaces in Israel and Richmond Hills, Ga., and porcelain panels in Morbi, India. The company is publicly traded on the NASDAQ under the ticker symbol CSTE.
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