Holcim will acquire German wall systems maker Xella in a $2.16 billion deal that could precede more “big deals” coming “in the coming months,” said Miljan Gutovic, CEO of the global cement maker.
Xella, a leader in sustainable and innovative wall systems to improve thermal and acoustic insulation through its Ytong, Silka, Hebel and Multipor brands, projects $1.1 billion in sales this year, according to an Oct. 20 news release about the deal. The acquisition, which is expected to close in the second half of 2026, positions Holcim to take advantage of Europe’s growing renewal market, Gutovic told Reuters.
“Around 80% of the buildings we live in today will still be around in 2050, which means we will have to constantly invest to repair, refurbish and maintain them,” he said, adding that energy efficiency and noise reduction standards are “getting stricter” as cities grow.
Holcim said Xella will add 4,000 employees to its workforce and operates in 21 major European markets. “Xella will add to our customer offering in the attractive €12 billion+ wall market, with system and cross-selling opportunities,” said Gutovic.
Holcim said it will pay a multiple of 8.9 times Xella’s projected 2026 earnings before interest, taxes, depreciation and amortization, marking the Swiss-based company’s largest acquisition in more than four years as it steers business interests toward a greater focus on sustainable construction outlined in its 2030 growth strategy. “This strategic acquisition is a milestone in the our vision to be the leading partner for sustainable construction,” the company added.
“With Holcim’s global reach, Xella is well positioned to meet the evolving needs of the construction industry and support the transition to climate-resistant infrastructure,” the German company said in a statement posted on its website.
