1&1 AG — M&A Activity 2003

Jul 28, 2003

News Details

Ad-hoc | 28 July 2003 12:25

Drillisch AG english

Acquisition of a majority of VICTORVOX AG guarantees triple the market share Ad-hoc-announcement transmitted by DGAP. The issuer is solely responsible for the content of this announcement. ——————————————————————————– Drillisch AG today announced that it has reached agreement in principle with the former shareholders to acquire a majority stake in VICTORVOX AG, the Krefeld- based provider of mobile communication services. As such, Drillisch AG will hold a stake of 71.9 % in VICTORVOX AG. Both parties agreed not to disclose the purchase price. The transaction is contingent upon the successful performance of all due diligence audits. Moreover, two of the remaining VICTORVOX shareholders have a right of first refusal. The management of Drillisch AG hopes that the remaining shareholders will join forces with the vendors. The Krefeld-based provider of mobile communication services was founded in 1985 under the name of autoradioland, and has been operating under the name of VICTORVOX since 1995. In 2002 the group generated revenue of 297 million euros with 293 employees. 570,000 of the 829,000 subscribers to VICTORVOX were credit customers. Following the acquisition Drillisch AG will attain a market share among the German service providers of approximately 9% with some 1.4 million subscribers to mobile communications. In doing so, Drillisch will move up very close to the third-ranked company in the German service provider market. Drillisch is delighted to have found such a strong partner for the Group in VICTORVOX. The Management Board of Drillisch AG anticipates a wide range of synergy effects, and the stronger sales platform will enable the company to offer its customers even more attractive products and services in the future. The acquisition of VICTORVOX AG represents a complementary addition to Drillisch, which is why the Management Board is convinced that it has made the strategically correct decision at precisely the right moment in time. VICTORVOX AG is generating positive cash flow from its day to day business activities. Together, the two companies generated revenues totalling approx. 440 million euros in 2002. end of ad-hoc-announcement (c)DGAP 28.07.2003 ——————————————————————————– WKN: 554550; ISIN: DE0005545503; Index: Listed: Geregelter Markt in Frankfurt (Prime Standard); Freiverkehr in Berlin- Bremen, Düsseldorf, Hannover, München und Stuttgart 281225 Jul 03