EANS-News: Balda AG
Balda expects to generate proceeds of EUR 238 million from
sale of 20.0 million shares in TPK Holding
24.02.2012 – 12:02
-------------------------------------------------------------------------------- Corporate news transmitted by euro adhoc. The issuer/originator is solely responsible for the content of this announcement. -------------------------------------------------------------------------------- Company Information Subtitle: - Interest in Chinese touchscreen manufacturer reduced to 7.6 per cent - Company plans to likewise dispose of remaining shares at optimum value - Substantial one-off earnings will put Balda Group in profit in 2012 - Shareholders to receive extraordinary dividend from transaction Bad Oeynhausen (euro adhoc) - Bad Oeynhausen, 24 February 2012 - Balda Investments Singapore Pte. Ltd., a Balda AG Group company, has today agreed to sell a total of 20.0 million shares in TPK Holding Co., Ltd., expecting to generate proceeds of roughly EUR 238 million (based on today´s exchange rate EUR/Taiwan Dollar). The Board of Directors of the plastics processing company, which is active in the medical and electronic products sectors, implemented an announcement at its extraordinary general meeting held on 8 February of this year. The transaction will take place through block trade in accordance with the regulations of the Taiwanese Stock Exchange; an investment bank was involved in the process. Closing of transaction is expected to take place within the next week. After the transaction, Balda Investments Singapore Pte. Ltd. continues to hold 17.8 million shares in TPK. The partial sale reduces the company´s interest in the Chinese touchscreen manufacturer, which has been listed on the Taiwan Stock Exchange since October 2010, from 16.1 % to 7.6 %. The Board of Directors at Balda AG has reiterated its intention to likewise dispose of its remaining holding in the company at optimum value, as its interest in TPK Holding is no longer of strategic significance. The transaction is set to have a substantial positive impact on the profit situation at Balda AG and the Balda Group. It will give rise to considerable one-off earnings in the consolidated financial statements for 2012, leading the Board of Directors to anticipate considerable profit for the Group for the current financial year. As previously announced, the Board plans to distribute part of the proceeds generated by the disposal to shareholders as an extraordinary dividend. As a further consequence of the transaction, Balda's representative will resign from its management board position in TPK. Dominik Müser, CEO, Balda AG: "We have followed through on our declared intention to swiftly realise the sale of our interest in TPK Holding, using the current upward trend in TPK´s share price to our advantage. We will be in no hurry to dispose of the remaining shares; our priority will be achieving the best possible result for Balda from the sale. Nevertheless, our shareholders can already look forward to an attractive extraordinary dividend. In addition to this, the injection of funds with which the sale has provided us gives us additional scope for action in the context of Balda´s ongoing reorientation." Company profile of Balda AG The Balda Group develops and produces complete plastic assemblies, electronic products and products for the medical technology industry. Balda´s customers are leading companies in the pharmaceutical, medical technology, consumer electronics electronic communications and mobile phone markets. The Group is internationally positioned with production sites in Germany and Malaysia. A subsidiary in the USA operates in product design and development. Within the scope of its shareholding in a leading touchscreen manufacturer in China, Balda is participating in the dynamic development of the touchscreen displays market. This Corporate News announcement contains forward-looking statements, which are based on the current expectations of Balda´s management. They therefore contain a range of risks and uncertainties because they relate to future events and depend on circumstances that will occur in the future, such as, for example, developments in the mobile communications industry, changes in technology and the ability to timely and successfully develop new products and various other factors. Balda will neither revise these forward-looking statements nor correct them in the event of any unexpected development, unless there is a legal obligation to do so. This Corporate News announcement represents neither an offer to buy shares nor an invitation to submit an offer to buy shares in the United States or any other country. The shares in Balda AG (the "shares") may not be offered or sold in the United States or to or for the account of U.S. persons (as defined in Regulation S of the U.S. Securities Act of 1933, in its current version (the "Securities Act")), unless they are registered or are exempt from registration under the Securities Act. The shares have not been and will not be registered under the Securities Act. Further inquiry note: Frank Elsner Frank Elsner Kommunikation für Unternehmen GmbH Tel.: +49 - 54 04 - 91 92 0 Fax: +49 - 54 04 - 91 92 29 Mail: office@elsner-kommunikation.de end of announcement euro adhoc -------------------------------------------------------------------------------- company: Balda AG Bergkirchener Str. 228 D-32549 Bad Oeynhausen phone: +49 (0) 5734 9 22-0 FAX: +49 (0) 5734 922-2747 mail: info@balda.de WWW: http://www.balda.de sector: Semiconductors & active components ISIN: DE0005215107 indexes: CDAX, Prime All Share stockmarkets: free trade: Berlin, München, Hamburg, Düsseldorf, Stuttgart, regulated dealing/prime standard: Frankfurt language: English