DGAP-News: MIFA Mitteldeutsche Fahrradwerke AG / Key word(s): Mergers
& Acquisitions
MIFA acquires premium manufacturer Steppenwolf
21.08.2012 / 22:38
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The following press release explains further details about the ad hoc
announcement of MIFA Mitteldeutsche Fahrradwerke AG regarding the
acquisition of the significant assets of Steppenwolf, that has just been
published.
MIFA acquires premium manufacturer Steppenwolf
Sangerhausen, 21 August 2012 - MIFA Mitteldeutsche Fahrradwerke AG (WKN
A0B95Y, ISIN DE000A0B95Y8), Germany's largest manufacturer of bicycles in
terms sales, will acquire all of the significant assets of Munich-based
bicycle producer Steppenwolf as of 21 August, 2012. Since 1995, the
Steppenwolf brand has stood for high-quality sports bikes in the upper
price segment and is well-known especially in Southern Germany. Its bikes
are produced exclusively in Germany, and are offered through qualified
independent bicycle dealers.
MIFA will acquire all of the company's significant assets by way of an
asset deal through a newly-founded subsidiary, Steppenwolf Bavaria GmbH.
The acquired assets include the brand rights and customer relationships of
Steppenwolf GmbH, and its sales, marketing and field organisation (service)
divisions. On 26 July, 2012, Steppenwolf filed for insolvency, with
insolvency proceedings having commenced on 21 August, 2012. The parties
have agreed to confidentiality concerning the purchase price of the
transaction. The funding derives from the capital increase which MIFA
successfully executed in July 2012. 'As early as 2013, we expect positive
impulses through Steppenwolf', was how Peter Wicht, CEO of MIFA, commented
on the acquisition.
With the acquisition of Steppenwolf, MIFA is continuing to pursue its
growth strategy which it presented as part of the capital increase. 'Our
primary focus will continue to be on organic growth, but we also aim to
continue to tap external growth through acquiring attractive brands in
order to increase MIFA's overall profitability. Less than six months after
the GRACE acquisition, we are now expanding MIFA to include an additional
strong brand,' said Wicht. 'Along with e-bikes, we also regard high-quality
bicycles for independent bicycle dealers as a growth market for us.' He
went on to note that Steppenwolf offers an outstanding fit with MIFA's
portfolio: 'Our key expertise lies in the efficient production of large
unit volumes, while maintaining the same high standards of quality. We will
be able to recover the positive earnings contributions with the Steppenwolf
brand with our know-how, and also achieve additional positive economies of
scale in purchasing,' Wicht added.
Particularly in terms of development, production, quality management and
sales through independent bicycle dealers, MIFA anticipates synergy
effects: more than 250 qualified independent bicycle dealers sell
Steppenwolf brand bicycles. 'Steppenwolf has long stood for above-average
'Made in Germany' quality among those familiar with the sector. The brand
is well positioned with independent bicycle dealers, as well as with
end-customers,' explained Michael Hecken, head of marketing and strategy at
MIFA. 'We also expect a know-how transfer between GRACE and Steppenwolf in
this context.' Andreas Liertz, sales expert at Steppenwolf, explained: 'I
look forward to again focusing entirely on selling bicycles. Together with
Michael Hecken, I would like to establish new sales and marketing
structures among specialist wholesalers and retailers.'
As recently as March 2012, MIFA acquired a majority interest in
Berlin-based e-bike manufacturer GRACE, a premium manufacturer whose
products include the smart e-bike. Production started up a few weeks ago.
About the company:
MIFA Mitteldeutsche Fahrradwerke AG, which is based in Sangerhausen
(Saxony-Anhalt / Germany), is Germany's largest manufacturers of bicycles
in terms of sales. The company produces bicycles from supplied components,
whereby the focus is on project-related order production for large retail
chains. E-bikes have also been produced since 2011. MIFA also acquired the
majority of Berlin-based e-bike manufacturer GRACE GmbH & Co. SG in March
2012, which mainly produces premium-segment e-bikes. Among other customers,
GRACE produces the e-bike for automotive manufacturer Daimler (for the
smart brand). Outside Germany, MIFA sells its bicycles mainly in Western
Europe; in this context, both the operating business and administration and
logistics are managed at the company's sole production location in
Sangerhausen.
MIFA sold around 644,000 bicycles in 2011 (previous year: around 593,000).
In doing so, the company generated EUR 100.5 million of sales revenue,
representing a 31.4% increase compared with the previous year (EUR 76.5
million). On this revenue, the company achieved operating profit (EBIT) of
EUR 4.6 million (previous year: EUR 2.0 million), and net income stood at
EUR 2.0 million (previous year: EUR 0.3 million). Its shares are traded in
the Prime Standard on the Frankfurt Stock Exchange since July 17.
Contact:
Mark Appoh
cometis AG
Unter den Eichen 7
65195 Wiesbaden
Telephone: 0611-205855-21
Fax: 0611-205855-66
E-mail: appoh@cometis.de
End of Corporate News
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21.08.2012 Dissemination of a Corporate News, transmitted by DGAP - a
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Language: English
Company: MIFA Mitteldeutsche Fahrradwerke AG
Kyselhäuser StraÃe 23
06526 Sangerhausen
Germany
Phone: 03464-5370
Fax: 03464-537251
E-mail: b.mirau@mifa.de
Internet: www.mifa.de
ISIN: DE000A0B95Y8
WKN: A0B95Y
Listed: Regulierter Markt in Frankfurt (Prime Standard);
Freiverkehr in Berlin, Hamburg, München (m:access),
Stuttgart
End of News DGAP News-Service
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182433 21.08.2012
DGAP-News: MIFA acquires premium manufacturer Steppenwolf
| Source: EQS Group AG