Pfeiffer Vacuum Technology AG - M&A Activity 2017

News Details

Corporate | 22 June 2017 20:30

Pfeiffer Vacuum Technology AG: Pfeiffer Vacuum acquires Nor-Cal Products for USD 68 million

DGAP-News: Pfeiffer Vacuum Technology AG / Key word(s): Takeover/Mergers & Acquisitions

22.06.2017 / 20:30

The issuer is solely responsible for the content of this announcement.

PRESS RELEASE

Pfeiffer Vacuum acquires Nor-Cal Products for USD 68 million

– Transaction creates leading supplier of vacuum components in the USA

– Acquisition establishes further growth opportunities in Asia

– Extension of business across all market segments through increased sales reach

– Customers to benefit from a broader product portfolio, new technology solutions, and a more extensive sales network

– Rapid integration into existing Pfeiffer Vacuum structures

Asslar, June 22, 2017. The Management Board of Pfeiffer Vacuum Technology AG (“Pfeiffer Vacuum”) today announces the acquisition of US-based Nor-Cal Products Inc. (“Nor-Cal”), effective June 22, 2017. With around 300 employees in the USA and Vietnam, Nor-Cal manufactures premium-quality vacuum components, chambers and valves for international customers in the fields of semiconductors, coating and displays as well as for leading universities and research facilities. Nor-Cal is currently benefiting from this industry’s very positive outlook and expects full-year sales of around USD 60 million at an EBIT margin around the level of the Pfeiffer Vacuum group. The agreed purchase price amounts to USD 68 million on a cash and debt-free basis. The transaction was mainly financed via a bank loan.

“This is an important transaction for Pfeiffer Vacuum. With Nor-Cal, we will significantly reinforce our position in the increasingly attractive market for vacuum components. The merger makes us a leading supplier in the USA, an important growth market. Our joint American clientele will benefit from a broader product portfolio, new technology solutions and a more extensive sales network. Selling Nor-Cal products via Pfeiffer Vacuum’s far stronger distribution network in Asia will also drive sales substantially. After all, we will continue offering Nor-Cal’s high-class components to semiconductor customers but will also integrate them into the

Analytics and Industrial market segments and, hence, generate additional economies of scale, higher margins and sustained growth,” says Manfred Bender, CEO of Pfeiffer Vacuum Technology AG. “Furthermore, the manufacturing site in Vietnam, with its proximity to our Asian clients and its beneficial cost structure will allow us to increase our profitability further.”

Founded in 1962 in Yreka, California, USA, Nor-Cal operates plants at its Yreka headquarters and in Ho-Chi-Minh-City, Vietnam, which will further improve the group’s global production footprint. In recent years, the company has benefited greatly from its persistent focus on customers in the semiconductor industry and this segment’s comparatively high growth. Nor-Cal has identified the medical engineering sector in North America as another very interesting future growth market.

Pfeiffer Vacuum will take advantage of Nor-Cal’s high profile and its advanced online and offline sales channels to win new customers and grow its market share in North America. In order to successfully combine both businesses, Nor-Cal and its management team will immediately be integrated into Pfeiffer Vacuum’s existing organizational structure.

“After the acquisitions of Dreebit and ATC, we have achieved a particularly attractive milestone with the acquisition of Nor-Cal. Now we are not only better able to serve growth markets in the USA and Asia, we have also reinforced all market segments. The transaction fully supports our declared strategy of tapping the vacuum market’s great potential by way of acquisitions. And the long-term prospects, which were already excellent, have further improved for our shareholders,” says Manfred Bender.

**Contact

Pfeiffer Vacuum Technology AG**

Corinna Wagener

Executive Assistant

T +49 6441 802 1345

F +49 6441 802 1365

[email protected]

About Pfeiffer Vacuum

Pfeiffer Vacuum (stock exchange symbol PFV, ISIN DE0006916604) is one of the world’s leading providers of vacuum solutions. In addition to a full range of hybrid and magnetically levitated turbopumps, the product portfolio encompasses backing pumps, measurement and analysis devices, components as well as vacuum chambers and systems. Ever since the invention of the turbopump by Pfeiffer Vacuum, the company has stood for innovative solutions and high-tech products that are used in the markets Analytics, Industry, Research & Development, Coating and Semiconductors. Founded in 1890, Pfeiffer Vacuum is globally active today. The company

For more information, please visit www.group.pfeiffer-vacuum.com

22.06.2017 Dissemination of a Corporate News, transmitted by DGAP – a service of EQS Group AG.

The issuer is solely responsible for the content of this announcement.

The DGAP Distribution Services include Regulatory Announcements, Financial/Corporate News and Press Releases.

Archive at www.dgap.de


Language:	English
Company:	Pfeiffer Vacuum Technology AG
	Berliner Str. 43
	35614 Asslar
	Germany
Phone:	+49 6441 802-0
Fax:	+49 6441 802-1365
E-mail:	[email protected]
Internet:	www.pfeiffer-vacuum.de
ISIN:	DE0006916604
WKN:	691660
Listed:	Regulated Market in Frankfurt (Prime Standard); Regulated Unofficial Market in Berlin, Dusseldorf, Hamburg, Hanover, Munich, Stuttgart, Tradegate Exchange