GF Piping Systems strengthens its market position through strategic growth in building technology

Oct 9, 2008 7:00 AM

On September 30, 2008 the antitrust authority approved the acquisition of JRG Gunzenhauser AG by Georg Fischer Piping Systems. The transaction is considered by all the parties involved as well as the market environment to be a perfectly positioned Swiss solution with an excellent outlook in the domestic market. Both firms were not sufficiently large on their own to secure long-term success in the building technology market. The critical mass necessary to generate further growth has now been achieved is how Dr. Nabil El Barbari, Member of Executive Management at GF Piping Systems, described the new situation, which will be very beneficial for both sides.

GF_Picture_JRG_PressNabil El Barbari, member of the executive board of GF Piping Systems, and J.R. Gunzenhauser, delegate of board of directors of former JRG Gunzenhauser AG (from left) at the media conference in Sissach. (Picture: GF Piping Systems, 2008)

The synergy potential of the newly formed company Georg Fischer JRG AG is mainly to be found in the areas of research & development, production and logistics. Thanks to innovative product developments and their successful market launches, both firms are steadfast industry leaders. The future will see an even greater driving force in innovation, which will be reflected in further developments in the mid and long term.

Utilizing and expanding market position

Individually, both firms were ideally positioned in the Swiss domestic market. With this acquisition, GF Piping Systems has significantly strengthened its position in Germany and has laid the foundation for market expansion, for example in the Austrian and Italian markets. JRG and GF Piping Systems are both internationally renowned brand names with many innovative products in the field of building technology and with considerable growth potential. By creating a new market situation as of October 1 and pooling the largely complementary customer portfolios, the product offering will be greatly expanded and planners and installers will benefit from a much vaster source of competence. 

Wide spectrum of products

The positive effects of having complementary systems, created by merging the product portfolios of GF und JRG, are clear. For example, by combining the drinking water systems iFit and Sanipex, a concentrated offensive can be launched in the German market, where the pressing technology is predominant. In Switzerland,  this combination of systems will enable Georg Fischer JRG to take a leading position in the multistory distribution market. The benefits which can be expected in large-scale project business are largely derived from JRG’s expertise in fittings and hygiene as well as the complete all-plastic piping system Instaflex from GF Piping Systems, which covers installations up to dimension d225.

The parallel systems from GF Piping Systems (iFit, Instaflex) and JRG Gunzenhauser (Sanipex classic, Sanipex MT) for riser pipes and multistory distribution are firmly established in the market. The diverse benefits and performance features of the iFit, Instaflex, Sanipex classic and Sanipex MT systems will change little in regard to this positioning. Customers can now obtain these successful systems from one source – a true benefit.

Swiss solution

Both parties have noted in their previous cooperation that the conviction of having found an ideal solution is already being manifested in daily work. Besides the many synergy possibilities and the limited number of overlapping products, many future prospects can be generated. JRG Gunzenhauser had been looking for a strong partner for some time so as to give its shareholders, employees and the Sissach location a maximum of security and perspectives in the long run. By joining forces with GF Piping Systems, they have taken the right step toward a successful future.

Georg Fischer – Adding Quality to People`s Lives
GF Piping Systems is one of the three core businesses of the Georg Fischer Corporation and a leading supplier of piping systems in plastic and metal with global market presence. Connecting technology, fittings, valves, measuring devices and pipes are used for water conveyance and treatment as well as the transport of liquids and gases for industrial purposes. GF Piping Systems provides innovative, engineered solutions for the segments building technology, chemical process industry, cooling, life science, microelectronics, ship building, water and gas utilities and water treatment. Sales companies in more than 25 countries and representatives in another 80 countries ensure customer support 24 hours a day. Production sites in Europe, Asia and the US are near the customers and meet local requirements. The Georg Fischer headquarters is based since its foundation in 1802 in Schaffhausen, Switzerland.

Key figures GF Piping Systems 2007
Around 4’000 employees worldwide (per 30 September 2008)
1096 MCHF sales

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