NACKA STRAND, Sweden, June 28, 2002 (PRIMEZONE) -- Hexagons ambition is to become and remain as Number 1 or Number 2 within its strategic segments. Hexagon has therefore acquired the German company GFD Technology via its wholly owned subsidiary Gislaved Gummi AB.
The Acquisition is a step in the process to position Gislaved as the leading supplier of advanced rubber compounds. The Outsourcing trend, to mix raw materials into a rubber compound, remains strong. The Market is therefore expected to continue to expand rapidly as old manufacturing equipment becomes obsolete. Thanks to this acquisition Gislaved positions itself as one of the leading suppliers within this niche in Europe.
The Acquisition will enhance earnings from the day of consolidation. The Acquisition will also generate substantial synergies in R&D, Production as well as market penetration. GFD started its production of rubber compounds in 1997. Since then GFD has utilised its superior cost efficiency to expand. The Sales turn over is app. 300 Msek for the fiscal year 2002. The Investment pace has been high throughout this period and GFD possesses the most advanced production facility in the industry. Gislaved is, thanks to the acquisition, in a position to continue its aggressive expansion within the rubber compound segment. GFD has 90 employees.
Gislaved Gummi is a part of Hexagon Engineering. Gislaved will, after the acquisition, have an annual sales turn over of app. 800 MSEK.
For further information, please contact
Ola Rollen, President & CEO Lars Olofsson, President Hexagon AB Gislaved Gummi AB Phone: +46 (0)8- 601 26 20 Phone: +46 (0)371-848 00
Hexagon AB is a multinational engineering group with the long-term ambition of positioning itself as number one or number two within its strategic sectors. The operation is divided into three business areas: Hexagon Automation, Hexagon Engineering and Hexagon Metrology. The group's targets are to increase earnings per share after tax by at least 15 per cent p.a., and achieve a return on capital employed higher than 15 per cent over the business cycle. Current turnover amounts to more than 7 GSEK p.a.
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