euro adhoc: RHI AG
Mergers - Acquisitions - Takeovers
RHI acquires the
business of Monofrax Inc., USA
Disclosure announcement transmitted by euro adhoc. The issuer is responsible for the content of this announcement.
19.12.2006
Monofrax Inc. is a subsidiary of Vesuvius Crucible Company and the only producer of fused cast products in the USA, which are used primarily in the glass industry. In 2005, Monofrax reported an annual revenue of USD 45 million in the USA, Asia/Pacific and Europe. Monofrax has innovative products, important patents and excellent business relations with the most important glass producers worldwide. In the growing glass market, RHI Refractories is the worlds largest refractories supplier independent of the glass industry and already operates modern production facilities for fused cast products in Italy and China, as well as further production sites for refractories for the glass industry in Europe and China.
RHI has signed a contract with Vesuvius regarding the acquisition of
all relevant Monofrax assets ("asset deal"), which, in addition to
fixed assets, also comprises all intangible assets and the entire
operating business. The purchase price amounts to about USD 35
million (EUR 26,7 million). For the year ended 31 December 2005,
Monofrax had an operating profit (EBIT) of USD 6 million (EUR 4,6
million). The enforcement of the contracts is subject to different
conditions precedent and the approval of the antitrust authorities.
The closing of the transaction is expected for the first quarter of
2007.With the integration of the Monofrax business into its worldwide sales network, RHI Refractories is again significantly strengthening its position as a full-line supplier and now most important independent producer of fused cast refractories specialties. RHI Refractories thus has another technologically, logistically and economically optimal production site for high-grade refractory products especially for the highly important special glass market in North America. The new production network enables the sales force of RHI and Monofrax to apply their refractories know-how, which will be pooled in the future, to ensure an even more intensive joint market penetration and optimal customer solutions worldwide.
end of announcement euro adhoc 19.12.2006 08:00:00
Further inquiry note:
RHI AG
Investor Relations
Dkfm. Markus Richter
Tel: +43-1-50213-6123
Email: markus.richter@rhi-ag.com
Branche: Refractories
ISIN: AT0000676903
WKN: 874182
Index: ATX Prime
Börsen: Wiener Börse AG / official dealing