Headline: Santoni Shanghai Acquires Terrot GmbH
Deal Type: Acquisition
Acquiring Company: Santoni Shanghai Knitting Machinery Co Ltd
Target Company: Terrot GmbH
Target Company Services: Circular Knitting Machines
Deal Valuation (if available): n/a
Country of Target: Germany
Target Company Industry: Manufacturing
Deal Rationale: This acquisition aligns with Santoni’s vision to reshape and consolidate the circular knitting sector. Pending Chinese regulatory approval, the collaboration aims to foster innovation, sustainability, and digitalization in the knitting machinery industry.
Deal Summary: The global circular knitting machine market is expected to grow significantly, driven by consumer preferences for breathable and comfortable knitted fabrics. Santoni Shanghai’s strategic plan focuses on innovation, sustainability, and digitalization, and the partnership with Terrot will enhance its ecosystem and support sustainable development in the knitting machinery industry.
Terrot GmbH develops, produces and exports circular knitting machines for the textile industry and is one of the three companies in the top segment of its industry in terms of the quality of its machines. Circular knitting machines are used in the areas of fashionable outerwear and underwear, functional sports and leisure clothing as well as swimwear, mattresses, home textiles and in many technical applications. Terrot GmbH is valued by its customers as an innovative company and is their recognized partner in the implementation of customer-specific requirements.
Terrot GmbH was able to significantly increase sales in the 2021 financial year compared to the previous year, despite the disruptions caused by the corona pandemic. Compared to the previous year, sales increased by €8.8m to €33.7m (from €24.9m in 2020). 19% of total sales were achieved in Europe and 81% in the rest of the world market.
The main sales markets for Terrot in 2021 were Turkey, USA, India and China with a total share of 65% of sales revenue. In total, Terrot has carried out machine sales in 28 countries.
Business with special machines, which are characterized by a significantly higher degree of complexity than standard machines but also a higher selling price, increased compared to the previous year.