Sika recently held its Capital Markets Day where CEO Paul Schuler announced the company’s 2020 strategic targets, and one of its primary focuses over the next few years is the company’s automotive adhesives and materials.
According to the company’s outlook report, less than one percent of vehicles manufactured in 2017 are electric. The company anticipates the growth of electric vehicles to boom by 2025, based on studies, and expects this market will be a growth-driver for its products, one of which is its curing on demand adhesive.
“Given the megatrend towards electric-powered transport, Sika will increasingly be offering solutions for electric vehicles and expects this to generate around 20 percent more sales per vehicle,” the report notes. “Some 50 percent of all passenger cars produced worldwide already contain Sika products.”
Schuler also told Reuters he expects to purchase six companies by the end of 2018 whose revenues range from $103.1 million to $515.9 million USD, as well as open 26 new factories by 2020.
In addition to talking about the company’s adhesives, Schuler touched on Sika’s ongoing feud with its family ownership concerning selling the controlling stake Schenker-Winkler Holding (SWH) to Saint-Gobain. SWH, which is owned by the Burkard family, controls 16.1 percent of Sika’s capital with 52.4 percent in voting rights.
“We need a good solution for Sika, for all the employees, and for the Burkards,” Shuler told Reuters. “We are in a nice position, we have enough cash flow. Making an offer to the family wouldn’t restrict us from investing in other companies.”