aap Implantate AG

M&A Activity • Feb 24, 2014

News Details

Ad-hoc | 24 February 2014 17:30

aap Implantate AG divests its contract manufacturing business for EUR 18 million cash to private Equity company

aap Implantate AG / Key word(s): Strategic Company Decision/Disposal

24.02.2014 17:30

Dissemination of an Ad hoc announcement according to § 15 WpHG, transmitted
by DGAP - a company of EQS Group AG.
The issuer is solely responsible for the content of this announcement.

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aap Implantate AG (XETRA: AAQ.DE) announced today a definitive agreement
under which a Private Equity Company will acquire its contract
manufacturing business that is concentrated in its subsidiary, European
Medical Contract Manufacturing B.V. (EMCM). The purchase price for all
shares in EMCM is EUR 18 million and payable in cash under a deferred
payment schedule. The cash consideration will flow to aap in three
installments until end of April 2014. Closing (notarial attestation) is
expected to occur within the next days.

EMCM develops and manufactures sterile medicinal products for the
Biomaterials, Pharmaceuticals and Tissue Engineering markets and achieved
revenues of EUR 12 million in 2013.

The transaction will result in a one-time non-cash deconsolidation effect
of approx. EUR 4.0 million to EUR 4.5 million. In the process, the company
decided to adjust its capitalization policy for its Biomaterials activities
and to stop all respective development projects. This will result in a
one-time non-cash extraordinary depreciation of capitalized development
costs of approx. EUR 2.3 million. The mentioned effects will be accounted
for in the consolidated financial statements for 2013 and will affect the
EBIT. The contract manufacturing business will be presented as a
discontinued operation in aap's consolidated financial statements for 2013.

The transaction supports the Company's strategy to focus on its high growth
Trauma and bone cement business. The proceeds will be used for accelerating
the development of further LOQTEQ(R), silver coated and magnesium trauma
products. Furthermore, aap will start evaluating strategic acquisition
opportunities that support the trauma growth strategy.

aap will comment the transaction in more detail and elaborate more on the
financial impact in a separate press release.

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aap Implantate AG (ISIN DE0005066609) - Prime Standard/Regulated Market -
All German stock markets -

About aap Implantate AG
aap is a global medical device company headquartered in Berlin, Germany
that develops, manufactures and markets innovative biomaterials and
implants that are used in orthopedic procedures. The Company's products,
which include a full line of plating systems, cannulated screws and bone
cement products, are primarily used in the orthopedic specialty areas of
trauma and spine repair. The Company's products are sold through its direct
sales force, distribution partners and license agreements with OEM
partners. aap's stock is listed in the Prime Standard segment of the
Frankfurt Stock Exchange. For more information, please visit www.aap.de, or
download the Company's investor relations app from the Apple's App Store or
Google Play.

Forward-looking statement
This release may contain forward-looking statements based on current
experience, estimates and projections of the management board and currently
available information. They are not guarantees of future performance.
Various known and unknown risks, uncertainties and other factors could lead
to material differences between the actual future results, financial
situation, development or performance of the company and the estimates
given here. Many factors could cause the actual results, performance or
achievements of aap to be materially different from those that may be
expressed or implied by such statements. These factors include those
discussed in aap's public reports. Forward-looking statements therefore
speak only as of the date they are made. aap does not assume any obligation
to update the forward-looking statements contained in this release or to
conform them to future events or developments.

For inquiries please contact: aap Implantate AG, Marc Heydrich, Investor
Relations, Lorenzweg 5, 12099 Berlin, Germany
Tel.: +49 30 7501 9-134, fax: +49 30 7501 9-290, e-mail: m.heydrich@aap.de

24.02.2014 DGAP's Distribution Services include Regulatory Announcements,
Financial/Corporate News and Press Releases.
Media archive at www.dgap-medientreff.de and www.dgap.de

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Language: English
Company: aap Implantate AG
Lorenzweg 5
12099 Berlin
Germany
Phone: +49 (0) 30 75 01 90
Fax: +49 (0) 30 75 01 91 11
E-mail: info@aap.de
Internet: www.aap.de
ISIN: DE0005066609
WKN: 506660
Listed: Regulierter Markt in Frankfurt (Prime Standard); Freiverkehr
in Berlin, Düsseldorf, Hamburg, Hannover, München, Stuttgart

End of Announcement DGAP News-Service

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