Morgan Advanced Materials PLC Sale of UK Electro-Ceramics business to CeramTec (4904X)
22 February 2017 - 6:01PM
UK Regulatory
TIDMMGAM
RNS Number : 4904X
Morgan Advanced Materials PLC
22 February 2017
22 February 2017
Morgan Advanced Materials announces sale of its UK
Electro-Ceramics business to CeramTec
Morgan Advanced Materials plc ("Morgan") announces today that it
has agreed the sale of its UK Electro-Ceramics business ("UK
Electro-Ceramics"), comprising two sites at Ruabon and Southampton,
to CeramTec UK Limited, a fully owned subsidiary of CeramTec GmbH.
The transaction is structured as a sale of the business, assets and
goodwill for a consideration of GBP47m on a cash-free, debt-free
basis, payable in cash at completion, subject to customary closing
working capital adjustments.
In the year ended 31 December 2016, UK Electro-Ceramics
generated an operating profit of GBP6.2m on revenues of GBP22.7m.
Gross assets at 31 December 2016 were GBP7.0m.
The divestment is in line with Morgan's strategy to simplify its
portfolio and focus on global technology businesses of scale. The
proceeds from the sale will be used for re-investment in the core
business.
The UK Electro-Ceramics business produces a range of piezo and
dielectric ceramic products used in a wide range of industrial,
electronics, medical and defence applications. It forms part of the
Technical Ceramics Global Business Unit of Morgan.
Pete Raby, Chief Executive Officer of Morgan, said:
"I am pleased to announce the sale of UK Electro-Ceramics. This
divestment supports our aim of simplifying Morgan to focus on
technology businesses of scale, allowing us to better service
global markets and to drive the most value from our core
activities. UK Electro-Ceramics is a specialist business with
excellent customer relationships. This transaction will build its
scale and combine its expertise with that of CeramTec, creating a
stronger and more resilient platform for the future."
Henri Steinmetz, Chief Executive Officer of CeramTec, said:
"We are excited by the prospect of bringing together the
significant expertise and knowledge in piezo and dielectric
ceramics which complement each other perfectly. This transaction
opens the door to many new opportunities and possibilities for
CeramTec: new markets, new application areas, and new developments.
Together, we are stronger and we will be able to offer our
customers an even broader spectrum of products and applications.
The significant demand for sensors and measurement technology as
well as control and monitoring systems provides the best
opportunities for a successful future."
This announcement contains Inside Information in relation to
Morgan Advanced Materials plc.
- Ends -
Notes to Editors:
Morgan Advanced Materials
Morgan is a global materials technology company which designs
and manufactures a wide range of high specification products with
extraordinary properties, across multiple sectors and
geographies.
From an extensive range of advanced materials, it produces
components, assemblies and systems that deliver significantly
enhanced performance for its customers' products and processes. Its
engineered solutions are produced to very high tolerances and many
are designed for use in extreme environments.
The Company thrives on breakthrough innovation. Its materials
scientists and applications engineers, work in close collaboration
with customers to create outstanding, highly differentiated
products that perform more efficiently, more reliably and for
longer.
Morgan has a global presence with approximately 9,000 employees
across 50 countries serving specialist markets in the energy,
transport, healthcare, electronics, security and defence,
petrochemical and industrial sectors. It is listed on the London
Stock Exchange in the engineering sector (ticker MGAM).
For more information on Morgan visit:
www.morganadvancedmaterials.com
UK Electro-Ceramics business
The UK Electro-Ceramics business is a manufacturer of highly
specialised piezoelectric and dielectric components that enhance
the reliability and performance of customers' products in the most
technically challenging applications. The business is focused on
the Lead Zirconate Titanate ('PZT') and dielectric market and has
the widest range of products available for polycrystalline piezo
and dielectric applications across core target markets.
CeramTec
CeramTec is a large international manufacturer of ceramics for
technically demanding applications. The company supplies its
customers with premium quality ceramic products from sites across
the globe and is headquartered in Plochingen, Germany. CeramTec
products are often unseen, but always indispensable. The products
are used in many different applications today, especially in
medical engineering, automotive manufacturing, electronics,
equipment and mechanical engineering, defense systems, energy and
environmental technologies, and in chemical industries. The
company's success is rooted in the formula: Continued development
of new, innovative materials with a strong commitment to quality, a
focus on customer-specific systems solutions and dialog-based
application consulting services that cover the entire product life
cycle. The company has around 3,200 employees worldwide and
achieved revenues of approximately EUR501 million in 2015. CeramTec
is a portfolio company of Cinven.
For more information visit: www.ceramtec.com
Enquiries:
Pete Raby/Peter Morgan Advanced
Turner Materials 01753 837 000
Mike Smith/Alison Brunswick Group
Kay LLP 0207 404 5959
This information is provided by RNS
The company news service from the London Stock Exchange
END
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