PKC Group (Finland) will acquire the Segu companies of Germany, Poland and Ukraine, manufacturers and developers of wiring harnesses for the automotive and construction equipment sectors.
"The acquisition is continuance to the acquisition carried out in Poland for over two year ago," comments Harri Suutari, president and CEO of PKC. "Segu companies and PKC’s Polish unit will form a business unit servicing the West European markets with annual sales of about hundred million and about 2,500 employees."
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Under share purchase agreement, PKC's subsidiaries will absorb all shares in Segu Systemelektrik GmbH (Germany), Segu Polska Sp. z o.o. (Poland) and TZOV HBM Kabel Corp (Ukraine), for a debt-free purchase price of EUR 20 million.
Suutari added, "In addition to access to interesting new OEMs, the acquisition of Segu companies will bring a strategically important footprint in Germany as well as benefit of scale and increased credibility for PKC. Moreover, Segu companies have excellent technological know-how, which will benefit PKC’s wiring harness business."
The Segu companies in question generated consolidated net sales of approximately EUR 38 million in 2010, with EBITDA of EUR 3.8 million and about 1,000 employees at year's end. Closing of the acquisition is set for April 30, pending approval by Ukrainian authorities.
Source: PKC aquires Segu companies (evertiq)
