automotive filtration insight
Acquisitions strengthen U.S. filter business
Based in Hickory, North Carolina,
is a leading producer of high-quality air filters for residential buildings.
The second purchase was
headquartered in Hampshire, Illinois.
The combined annual revenues of the latest members of the Freudenberg Group amounts to some 160 million USD.
More significantly, both companies have well-established sales channels and strong reputations for quality and innovation. They also provide jobs for a total of 1,200 people.
Major growth opportunities
Besides already being well established in the market, growth opportunities are enormous. According to the U.S. Census Bureau, the country had approximately 139 million residential units in 2019. Around 84 percent are already equipped with air-conditioning or ventilation systems.
These systems rely on air filters to improve performance and increase the operating life of the equipment, and above all to protect people from airborne particles. The market has been growing for several years but has exploded recently due to the SARS-CoV-2 pandemic. American consumers have become more aware of air hygiene, which is leading to increased demand, especially for filters in the higher performance categories.
Excellent long-term outlook
Dr. Andreas Kreuter, CEO of Freudenberg Filtration Technologies, said of the recent acquisitions:
“With its BestAir brand, RPS Products enjoys a high degree of trust among consumers, and its products and customers make it an outstanding complement to Protect Plus Air for us. With these two purchases, we are committing ourselves to an attractive market with good opportunities for growth in the United States.”