The Board of Directors and Supervisory Board of Leoni AG have agreed to the sale of Leoni Schweiz AG, Switzerland to a consortium of buyers. Leoni Schweiz AG is the holding company of Leoni Studer AG, a specialist in high-quality cables and wires for complex applications in the industrial and infrastructure sectors. Leoni Schweiz AG is being acquired by a consortium of buyers led by former Leoni board member Bruno Fankhauser and Helvetica Capital. Both sides have signed a corresponding agreement after several months of negotiation. The transaction is expected to be completed before the end of the first quarter of 2021.
Leoni announced that the company will sell the units of the Wire & Cable Solutions (WCS) division to focus on the wiring systems business. In the past financial year, Leoni has laid the foundation for the reorganisation of WCS into units to be sold. Leoni Schweiz AG is now the first unit being sold.
“The sale of Leoni Schweiz AG shows that besides the sequential improvement of our operating performance, we are also making progress in focusing on the wiring systems business. Today we reached an important milestone,“ says Aldo Kamper, CEO of Leoni AG. “The market environment for transactions appears to be steadily improving and we received tangible indications of interest for further WCS-units. We will sell further units if we achieve fair value and if buyers present a viable concept.”
The buyer consortium’s business concept for Leoni Schweiz AG envisions that the company will realise its full potential quickly and flexibly on an independent and stand-alone basis. The business will be further developed in the field of special and safety cables, halogen-free, flame-resistant plastics as well as irradiation cross-linking and sterilisation.
As a long-standing member of the management of Studer AG and Leoni Schweiz AG, Bruno Fankhauser has been familiar with the business and the market for over 20 years and will contribute this expertise to the further development of the company as the future CEO of the independent Studer Cables.
He comments: “We intend to further expand Leoni Studer’s leading position and its core technical competencies. With this step, we are also providing stability and continuity for our employees and business partners.”
The transaction is expected to be completed in the first quarter of 2021 in order to quickly create a perspective for the successful future of Leoni Schweiz AG and its employees. Foreign trade and antitrust reviews are not foreseen.
Image source: Courtesy of Leoni
Read more Wire & Cable news here