TTI Signs Agreement to Acquire Milwaukee(R), AEG(R) and DreBo(R) From Atlas Copco AB
31 August 2004 - 2:52PM
PR Newswire (US)
TTI Signs Agreement to Acquire Milwaukee(R), AEG(R) and DreBo(R)
From Atlas Copco AB Acquisition bolsters TTI's global brand
portfolio HONG KONG, Aug. 30 /Xinhua-PRNewswire-FirstCall/ --
Techtronic Industries Co. Ltd. ('TTI') (HKEx stock code 669; ADR
symbol: TTNDY) today announced that it entered into a stock
purchase agreement to acquire Atlas Copco AB's electric power tool
and accessories business, currently conducted through Milwaukee
Electric Tool Corporation and Atlas Copco Electric Tools GmbH and
certain other entities under the brand names 'Milwaukee(R)' and
'AEG(R).' The net cash consideration for the purchase is US $626.6
million on a debt- free basis, consisting of a total pre-adjustment
purchase price of US$712.8 million less an agreed pre-closing
adjustment of US$86.2 million. 2 The transaction, which is subject
to regulatory clearances and customary closing conditions, is
expected to close prior to the end of 2004. Mr. Horst J. Pudwill,
Chairman and CEO of TTI said, 'We are pleased to add the
Milwaukee(R) and AEG(R) brands of power tools and DreBo(R) carbide
drill bits to our growing family of global brands. With their
80-year histories, Milwaukee(R) is one of the most widely respected
brands in the professional contractor market segment and in Europe,
AEG(R) brings an additional highly respected brand to our
portfolio. This acquisition takes advantage of our marketing and
distribution networks and enhances our reach into the
industrial/construction channel and power tool accessory market.
The TTI Group is confident in its ability to continue generating
strong double- digit returns for its shareholders.' For details,
please see our release and announcement at http://www.ttigroup.com/
. About TTI Founded in 1985, TTI is a leading manufacturer and
supplier of home improvement and floor care products, employing
over 16,000 people worldwide. TTI's global brand portfolio includes
Ryobi(R) power tools, Homelite(R) and Ryobi(R) outdoor power
equipment, Royal(R), Dirt Devil(R), Regina(R) and VAX(R) floor care
appliances. The company has enjoyed continuous growth since its
listing on the Hong Kong Stock Exchange in 1990, achieving
double-digit growth for nine consecutive years. TTI is one of the
constituent stocks on the Hang Seng HK MidCap Index under the Hang
Seng Composite Index, the MSCI Hong Kong Index, the FTSE All-World
Hong Kong Index and the FTSE/Hang Seng Asian Cyclical Index. For
more information, please visit http://www.ttigroup.com/ . Contact:
Yammie Tang Techtronic Industries Co. Ltd. DATASOURCE: Techtronic
Industries Co. Ltd. CONTACT: Yammie Tang of Techtronic Industries
Co. Ltd., Web site: http://www.tti.com.hk/
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