Hexagon Composites ASA, which produces composite pressure cylinders for gaseous alternative energy, has entered into an agreement with Avanco GmbH to acquire its wholly owned subsidiary, xperion Energy & Environment, a manufacturer of Type 4 high pressure cylinders, for around €40 million. The acquisition will enable Hexagon Composites to expand its position in Europe. The integrated group will now have modern and specialized production units in Germany, USA and Norway.

The xperion group includes high-pressure composite cylinder operations for light-duty vehicles, heavy-duty trucks, transit buses and gas transportation solutions at its modern production plants in Kassel, Germany and Ohio, USA. In 2015, the group recognized net sales of €39 million. The two operations have 140 employees.

‘This acquisition represents another significant step in our growth strategy,’ said Jon Erik Engeset, president & CEO of Hexagon Composites.  

‘Hexagon Composites is one of the leading players in the composite pressure cylinder market, and the transaction will give xperion and its employees a strong industrial owner,’ added Holger Garbrecht, CEO of AVANCO Group.  

This story is reprinted from material from Hexagonwith editorial changes made by Materials Today. The views expressed in this article do not necessarily represent those of Elsevier.