Divestment of MAAG Gear

FLS MAAG Gear
Transaction:
Divestments
Date:
Apr 2007
Deal Value:
Not disclosed
Process:
Private auction
Industry:
Manufacturing

FLSmidth is a leading supplier of equipment and services to the global cement and minerals industries employing more than 10,500 people in more than 40 countries world-wide. FLSmidth supplies everything from single machinery to complete cement plants and minerals processing facilities including services before, during and after the construction. FLSmidth is listed on the NASDAQ OMX Copenhagen Stock Exchange.The acquirer; RENK AG, a German gear producer which is a member of the MAN Group, is one of the worldwide acknowledged manufacturers of high-quality special gears, components of propulsion technology and test systems.
FLSmidth has decided that MAAG Gear should in future concentrate on gears for the cement and minerals industries to align the FLSmidth Group’s gear activities with the strategy for the rest of the Group. MAAG Gear will therefore become 100% focused on the Group’s main business – the supply of complete plants, machinery, equipment and services to the cement and minerals industries.
The acquired activities strengthen RENK’s existing market position within turbo and marine gears. It is RENK’s intention to maintain part of the production in Winterthur with a workforce of some 57 people and to continue the global servicing of marine and turbo gears from Switzerland.