Insulation industry news from Global Insulation

Italy: Italy's top court has overturned an 18 year jail sentence for a Swiss billionaire who was convicted over his role in the country's biggest asbestos scandal. According to the court, too much time had passed since the alleged wrongdoing.

Stephan Schmidheiny was found guilty in 2012 of negligence at his company's Italian factories in the 1970s and 1980s, which eventually led to almost 3000 asbestos-related deaths. However Italy's highest court annulled the verdict on 19 Wednesday 2014, saying the statute of limitations had kicked in. The decision means that Schmidheiny will also escape having to pay millions of Euros in fines and compensation ordered by Italian courts in 2012 and 2013.

Prosecutors in the original trial said that Schmidheiny had not taken sufficient measures to protect the health of workers and nearby residents from the asbestos used at the Italian plants of his building material firm Eternit. The factories had used asbestos in the production of cement. The plants closed in 1986, but workers and local residents continue to suffer the consequences, with Italy's biggest union saying that the latest victim of an asbestos-related disease was only buried on 15 November 2014.

Prime minister Matteo Renzi said the ruling underscored the need to reform Italy's notoriously snail-paced judicial system. "We need to ensure that trials take less time and change the statute of limitations," said Renzi.

UK/Canada: Kingspan Group has announced that it will buy the building products division of Vicwest Inc for US$136m in cash, inclusive of debt and reorganisation costs.

Kingspan said that the acquisition will be structured as the purchase by Kingspan of Vicwest and the simultaneous transfer of the Westeel business and assets to Ag Growth International. The total estimated consideration payable is US$333m, of which Kingspan will fund US$137m and AGI will fund US$196m. The acquisition of the building products business will be funded from Kingspan's existing credit facilities.

The division being bought comprises three insulation panel production plants and a number of profiling facilities across Canada and the US. Revenues for the year that ended 31 December 2013 were US$224m and pro forma earnings before interest, taxes, depreciation and amortisation (EBITDA) was US$11.7m. The unit had gross assets of US$111m at 30 June 2014.

Russia: TechnoNicol Corp, a manufacturer of roofing, waterproofing and thermal insulation materials, has agreed to acquire an additional 54.1% stake in Russia’s Krovlya Ooo, a building materials company. After the transaction, TechnoNicol will own a 98.25% stake in Krovlya.

US: Installed Building Products has acquired Installed Building Solutions (IBS), an installer of fibreglass insulation, spray foam insulation and waterproofing products. IBS primarily serves select markets across Minnesota, Wisconsin and North Dakota. Its sales for the 12 months that ended 30 September 2014 were approximately US$17.4m.

UK: Kingspan has reported 7% year-on-year growth in its third-quarter 2014 revenue, partly due to an upturn in the UK property market. It now expects to deliver a full-year trading profit in the region of Euro144m, up by 17% from the year ago period. Net debt at the end of September 2014 was Euro39.1m lower than at the same point in 2013, at Euro108m.