M&A Activity • Oct 1, 2008
M&A Activity
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Corporate | 1 October 2008 17:25
ARQUES completes acquisition of SHC
ARQUES Industries AG / Acquisition
Release of a Corporate News, transmitted by DGAP - a company of EquityStory
AG.
The issuer / publisher is solely responsible for the content of this announcement.
ARQUES completes acquisition of SHC
Starnberg, October 1, 2008 – Starnberg-based ARQUES Industries AG (ISIN
DE0005156004) has completed the purchase of an 80.2% equity interest in
Siemens Home and Office Communication Devices GmbH & Co. KG (SHC) from
Siemens AG. After the transaction was approved by the European Cartel
Office, the transfer took effect on October 1, 2008 (contract closing
date). Siemens will continue to hold 19.8% of the ARQUES subsidiary.
'The acquisition of SHC is a typical ARQUES transaction: fair purchase
price, strong value enhancement potential. Once again, we benefited from
our reputation as a reliable partner to major corporations seeking to spin
off their subsidiaries. In the case of this transaction, it was very
important to the seller Siemens that we can provide a 'good home' for the
company, which has now been renamed Gigaset Communications,' said Dr.
Michael Schumann, Chairman of the ARQUES Executive Board.
SHC renamed to Gigaset Communications
In connection with the acquisition, SHC was renamed Gigaset Communications
GmbH effective October 1, 2008. The new company name reflects the
successfully established market position of the brand name Gigaset as a
synonym for cordless telephones. In Germany alone, every second household
owns a Gigaset telephone; in Europe, every fifth household owns one. Based
in Munich, Gigaset Communications is Europe’s No. 1 supplier of cordless
telephones and is one of the world’s biggest suppliers in this sector.
Aside from Gigaset telephones, the business activities acquired from
Siemens also include broadband devices and home entertainment devices. SHC
generated revenues of approximately EUR 790 million in fiscal year 2007.
Two thirds of the company’s revenues were generated on sales of its Gigaset
cordless telephones. With 2,100 employees in 17 countries, the company
maintains a global presence and distributes its products in about 70
countries of the world. The biggest location, with about 1,400 employees,
is the ultra-modern production facility in Bocholt.
New management plans to further extend the company’s market leadership
position
Also with effect from October 1, 2008, the management team of Gigaset
Communications was reinforced by the addition of Oliver Apelt, who will be
responsible for operations. Mr. Apelt will be working with the Managing
Directors José Costa e Silva and Thomas Kresser. As Vice President
Operations of the parent company ARQUES, the 37-year-old Oliver Apelt last
served as the subsidiary manager of the BEA companies belonging to the
ARQUES Group.
Under ARQUES’ management, the plan is to further extend the strong position
of Gigaset Communications as the market leader in the premium price
segment. To this end, the product portfolio will be focused on profitable
business lines. The company intends to achieve targeted growth by means of
introducing a considerable number of product innovations in a number of
areas, including Voice-over-IP, for example, and to expand the company’s
international business. In order to successfully place the innovative
Gigaset products in the market, ARQUES will be entitled to continue using
the Siemens brand name for the next two years.
ARQUES’ balance sheet ratios improved as a result of this transaction
The consolidated balance sheet of the ARQUES Group will not be adversely
affected by this transaction. Due to the favorable purchase price as well
as the solid capital resources, the transaction will in fact slightly
improve ARQUES’ equity ratio and gearing ratio (debt-to-equity ratio). The
goal is for Gigaset Communications to be sustainably profitable and to
generate a significant positive free cash flow.
About ARQUES:
ARQUES Industries AG, Starnberg (www.arques.de), is a reliable partner to
major corporations seeking to spin off their subsidiaries, and a turnaround
specialist that focuses on the acquisition and active restructuring of
companies in crisis situations. Through its own team and resources, ARQUES
seeks to transform such companies into competitive, profitable enterprises.
ARQUES revitalizes the value-added potential of its subsidiaries to the
benefit of all their stakeholders, while living up to the related social
responsibility. The shares of ARQUES Industries AG are traded and listed in
the Prime Standard segment of the Frankfurt Stock Exchange under the symbol
'AQU’ (ISIN: DE0005156004). Moreover, the ARQUES share is part of the SDAX
index.
Contact:
ARQUES Industries AG
Investor Relations & Corporate Communication
Anke Lüdemann, CEFA/CIIA
E-mail: [email protected]
Public Relations
Christian Schneider
E-mail: [email protected]
Tel.: +49 (0) 8151/ 651 0
01.10.2008 Financial News transmitted by DGAP
Language: English
Issuer: ARQUES Industries AG
Münchner Str. 15a
82319 Starnberg
Deutschland
Phone: +49 (0)8151 651-0
Fax: +49 (0)8151 651- 500
E-mail: [email protected]
Internet: www.arques.de
ISIN: DE0005156004
WKN: 515600
Indices: SDAX
Listed: Regulierter Markt in Frankfurt (Prime Standard); Freiverkehr
in Berlin, Hamburg, Düsseldorf, München, Stuttgart
End of News DGAP News-Service
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