euro adhoc: Wienerberger AG
Wienerberger acquires third largest
brick producer in Great Britain (E)
Disclosure announcement transmitted by euro adhoc. The issuer is responsible for the content of this announcement.
Wienerberger AG (Vienna Stock Exchange: WIE, Reuters: WBSV.VI, Bloomberg: WIE AV), the world's largest producer of bricks, has signed a contract to acquire "thebrickbusiness" (TBB), the leading independent brick manufacturer in Great Britain. This transaction will make Wienerberger number three on the British market after CRH and Hanson. "The TBB acquisition represents a strategically important development for us", commented Wolfgang Reithofer, CEO of Wienerberger AG, on this investment. "The acquisition will significantly expand our position and increase our share of the UK market from the current level of 3 to 17%, making us one of the leading brick suppliers in the country." The purchase price for TBB will total £ 90.3 million (EUR 132.4 mill.), including debt.
"Thebrickbusiness" has a presence in all key regions of the country with nine plants, and offers an extensive line of extruded and machine moulded bricks with a total capacity of 340 million UK brick units. TBB employs 680 people and recorded revenues of £ 64 million (EUR 93.8 mill.) and EBITDA adjusted for non-recurring items of £ 16.5 million (EUR 24.2 mill.) during the 2003/2004 Business Year.
Wienerberger will also acquire a plant in Ockley, which is currently on extended shut-down but of major strategic importance because of its large raw material reserves and close proximity to London. The purchase price for the Ockley plant has been set at £ 8.6 million (EUR 12.6 mill.) and a further £ 4 million (EUR 5.9 mill.) will be invested in conversion and optimization measures.
"The TBB acquisition meets the strict criteria for our profitable growth course, which calls for a minimum CFROI of 17% in the third year for projects in new markets. This strategy will allow us to continually increase the value of Wienerberger", commented Wolfgang Reithofer.
For additional information see the press release at www.wienerberger.com
end of announcement euro adhoc 27.09.2004
Further inquiry note:
Thomas Melzer
Public and Investor Relations
T +43(1)60192-463 | communication@wienerberger.com
Branche: Building materials
ISIN: AT0000831706
WKN: 083170
Index: ATX, ATX Prime, WBI
Börsen: Wiener Börse AG / official dealing