euro adhoc: ElringKlinger AG
Mergers - Acquisitions - Takeovers /
ElringKlinger AG and SEVEX family owners sign deal for takeover of Swiss heat
shield specialist SEVEX Group
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Company Information
31.03.2008
Dettingen/Erms (Germany)/Sevelen (Switzerland), March 31, 2008 +++ ElringKlinger AG acquires SEVEX AG, Sevelen, a Swiss manufacturer of thermal and acoustic shielding systems. The agreement was finalized and signed today by both parties. In addition to acquiring the Swiss parent company, ElringKlinger takes over the US-based subsidiary SEVEX North America, Inc., Buford, as well as SEVEX Asia, headquartered in Suzhou, China.
Both parties to the contract have agreed not to disclose details of the purchase price. The closing of the takeover transaction is still subject to the usual provisos, in particular the receipt of official approval by the antitrust authorities. ElringKlinger expects the closing of the transaction by end of April.
ElringKlinger expects the SEVEX Group to achieve sales revenue of around CHF 95 million for 2008 (EUR 59 million). The purchase price is within a range of 7- to 8- times EBIT. ElringKlinger expects the transaction to be earnings accretive in 2008.
Complementary technology Increasingly, automobile manufacturers are turning to smaller, lighter and, in many cases, turbocharged engines with complex exhaust-cleaning technology, the objective being to scale down fuel consumption and reduce emission levels. Given the technologically demanding, high-temperature environment associated with such solutions, thermal shielding systems are becoming increasingly important to the overall design. Whereas ElringKlinger has established a strong position within the area of engine shielding components, SEVEX is recognized as one of the leading suppliers of underbody heat shield systems and solutions deployed in the vehicle exhaust tract. Thus, the SEVEX Group product range will complement ElringKlinger's existing product portfolio in an ideal way.
ElringKlinger advances to become second largest supplier worldwide In 2007, ElringKlinger Group generated sales of approximately EUR 93 (72) million in its Shielding Technology division. The acquisition of SEVEX will propel the ElringKlinger Group to second place in the international supplier ranking for engine, underbody and exhaust tract shielding systems.
end of announcement euro adhoc
Further inquiry note:
Stephan Haas
Investor Relations Manager
Telefon: +49 (0)7123 724-137
E-Mail: stephan.haas@elringklinger.de
Branche: Automotive Equipment
ISIN: DE0007856023
WKN: 785602
Index: SDAX, CDAX, Classic All Share, Prime All Share
Börsen: Börse Frankfurt / regulated dealing/prime standard
Börse Berlin / free trade
Börse Düsseldorf / free trade
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