The two leading suppliers to the automotive industry in the segments bonding, coating and sealing, the Swiss EMS-TOGO company and the US H.B. Fuller Automotive Company, have executed an equity based co-operation agreement. The companies will combine their operations and pursue joint world-wide marketing activities under the new and shared name EFTEC (EMS-H.B. Fuller Technologies). EFTEC North America LLC, USA, in which H.B. Fuller holds a 70 % share and EMS a 30 % share, will manage operations in North and South America, whilst EFTEC Europe Holding AG Switzerland (with inverse participation ratios) will manage operations in the rest of the world. Benefits deriving from this partnership include a strengthened market position and improved customer service, places EFTEC firmly in the league of the worlds major suppliers in the field of adhesives, coatings and sealants, and is characterised by a clear-cut appointment of management responsibilities. Sales of the two EFTEC companies should amount to approximately CHF 150 million each for 1997. The venture will take effect following standard regulatory approvals and completion of other documents.
