Kontron AG / Joint Venture
06.03.2008
Release of an Ad hoc announcement according to § 15 WpHG, transmitted by DGAP - a company of EquityStory AG.
The issuer is solely responsible for the content of this announcement.
---------------------------------------------------------------------------
- World's largest producer of laptops acquires minority stake in Kontron
Asia Inc., Taipei
- Leadership in purchasing and production costs as objectives
Eching, Munich, March 6, 2008. Kontron AG, one of the world's leading
manufacturers of embedded computer systems, is founding a joint-venture
with the Taiwanese company Quanta Computer Inc., Taipei, the world's
largest manufacturer of laptops. As announced today by the Executive Board
of Kontron, the Taiwanese listed company and his affiliates are acquiring a
21% stake in Kontron Asia Inc., Taipei. Kontron Asia Inc. is the production
organization of the Kontron Group which included its production plant in
Penang, Malaysia. Both parties have signed a relevant purchase agreement
today. The price per share is close to market price. The closing of the
transaction is expected during the course of March. Kontron AG will retain
both the operating management of, and a voting right majority in, the
enterprise. Both Kontron and Quanta expect to benefit equally from the
advantages the partnership offers. Kontron AG's main objective is to
optimize its manufacturing costs for embedded computers using Quanta's
purchasing and production conditions to achieve the cost leadership in
purchasing and production in the embedded market place. Quanta will benefit
from diversifying its production capacities in the industrial market.
With over 40,000 employees globally, Quanta produces around 30% of
worldwide laptops per year, and generated total revenue of over EUR 16
billion in 2007. 'Volumes are constantly rising in the high-growth embedded
computer market, particularly for applications in the POI/POS, cash
machine, infotainment, and gaming areas. The new Joint Venture between
Quanta and Kontron now allows Kontron AG to offer volumes of 100,000
embedded computer systems per year on a competitive basis,' commented
Kontron CEO, Ulrich Gehrmann.
Kontron launched a reorganization of its sales structures in Asia as
recently as the fourth quarter of 2007, entailing the installation of
centrally managed sales, with the aim of achieving higher EBIT margins in
this region. Kontron AG's target is to raise the EBIT margin by up to two
percentage points over the next three years through improved purchasing
terms and further optimization of production costs. Kontron AG aims to
relocate additional production volume to Asia over the next few years; the
aim is for 75 percent of all of Kontron's embedded computers to be
manufactured in the Joint Venture by 2010. Processes such as final
configuration and the installation of software, however, which are highly
know-how critical, will continue to be performed at the European and
American Kontron companies. The company will present detailed figures for
the 2007 financial year at its year-end results press conference in Munich
on March 26, 2008.
Investor Relations: For further information:
Gaby Moldan Dr. Udo Nimsdorf
Kontron AG Engel & Zimmermann AG
Oskar-von-Miller-Str. 1, Agentur für Wirtschaftskommunikation
85386 Eching Schloss Fußberg, Am Schlosspark 15,
Tel:08165/77212,Fax08165/77222 82131 Gauting
Email: Gaby.Moldan@kontron.com Tel. 089-89 35 633, Fax: 089-89 39 84 29
Email : info@engel-zimmermann.de
DGAP 06.03.2008
---------------------------------------------------------------------------
Language: English
Issuer: Kontron AG
Oskar-von-Miller-Str. 1
85386 Eching
Deutschland
Phone: 08165-77-225
Fax: 08165-77-222
E-mail: martin.przybyla@kontron.com
Internet: www.kontron.com
ISIN: DE0006053952
WKN: 605395
Indices: TecDAX
Listed: Regulierter Markt in Frankfurt (Prime Standard); Freiverkehr
in Berlin, Stuttgart, München, Hamburg, Düsseldorf
End of News DGAP News-Service
---------------------------------------------------------------------------
DGAP-Adhoc: Kontron AG founds joint-venture with Quanta Computer Inc. of Taiwan
| Source: EQS Group AG