Founded in 2005, German-based c-trace creates software and hardware modules for the waste management industry.
TOMRA said that the acquisition is attractive for three reasons:
- The market c-trace operates in – digital waste management solutions – demonstrates strong growth and profitability.
- This adjacent market fits TOMRA’s positioning and is an area where TOMRA can create additional value.
- c-trace is an ideal entry point into this market due to its leading position.
Tove Anderson, president and CEO of TOMRA, commented: “We are very enthusiastic about joining forces with c-trace. This allows TOMRA to broaden our offering in the waste management and recycling space and adds new digitalization capabilities across the recycling value chain.
“Combining TOMRA’s solutions and customer base with c-trace, we can drive innovation and unlock new market opportunities. Over the next years, our priority will be to expand c-trace’s international presence by utilizing TOMRA’s global footprint. Ultimately, our common ambition is to increase collection and recycling rates – turning more waste into valuable resources – by shaping tomorrow’s recycling infrastructure.”
Employing around 120 people, c-trace generates 80% of its sales in Germany and has shown annual growth of more than 15% over the last years.
The founders of c-trace, Helmut Ziegler, Torsten Olschewsky, and Michael Eikelmann, said in a joint statement: “We look forward to joining the TOMRA family and see this as the optimal home for the next phase in the growth journey of c-trace. Together with TOMRA we can unlock further value through collaborating on innovation, but also through leveraging TOMRA’s international footprint and customer base to reach new customers in new geographies.”
The remaining 20% of the company will be held by the founders with the option for TOMRA to purchase it after two years.
The company’s revenues in the last twelve months amounted to €21 million with 23% EBIT margin (adjusted).
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