DGAP-Adhoc: thyssenkrupp AG: thyssenkrupp sells Elevator Technology business for €17.2 billion to consortium of bidders led by Advent, Cinven and RAG foundation

2020. február 27., csütörtök, 19:18





DGAP-Ad-hoc: thyssenkrupp AG / Key word(s): Strategic Company Decision/Disposal


thyssenkrupp AG: thyssenkrupp sells Elevator Technology business for €17.2 billion to consortium of bidders led by Advent, Cinven and RAG foundation


27-Feb-2020 / 19:18 CET/CEST


Disclosure of an inside information acc. to Article 17 MAR of the Regulation (EU) No 596/2014, transmitted by DGAP - a service of EQS Group AG.


The issuer is solely responsible for the content of this announcement.




Disclosure of an inside information according to Article 17 MAR


thyssenkrupp sells Elevator Technology business for €17.2 billion to consortium of bidders led by Advent, Cinven and RAG foundation



thyssenkrupp sells its Elevator Technology business entirely to a consortium led by Advent, Cinven and RAG foundation. The respective Executive Board decision was approved on Thursday evening by the Supervisory Board of thyssenkrupp AG. The purchase agreement has been signed. Closing of the transaction is expected by the end of the current fiscal year. The purchase price (assuming closing on June 30, 2020) is €17.2 billion. thyssenkrupp will reinvest part of the purchase price (€1.25 billion) in a stake in the elevator business. The transaction is subject to merger control approvals, although thyssenkrupp does not expect the competent authorities to have any reservations.



The proceeds from the transaction will remain within the company. They are to be used to the extent necessary to reduce debt and to lower structural costs. Specifically, the company plans to partially fund its pension obligations. Alongside cash, the re-investment in the elevator business will be used for this purpose. In addition, thyssenkrupp plans to use a part of the proceeds to reduce financial debt. As a result, annual cash outflow for interest and pension payments are expected to be significantly lowered. Furthermore, the proceeds shall be used to a reasonable extent to advance the development of the remaining businesses and the portfolio. In total, the free cash flow before M&A is to be brought into positive figures within the next two years.




Contact:

Dr. Claus Ehrenbeck

Head of Investor Relations

T: +49-201-844-536464

Email: claus.ehrenbeck@thyssenkrupp.com



Peter Sauer

Head of External Communications

Phone: +49 (201) 844-536791

mailto: press@thyssenkrupp.com








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Language: English
Company: thyssenkrupp AG

thyssenkrupp Allee 1

45143 Essen

Germany
Phone: +49 (0)201 844-0
Fax: +49 (0)201 844-536000
E-mail: press@thyssenkrupp.com
Internet: www.thyssenkrupp.com
ISIN: DE0007500001
WKN: 750000
Indices: MDAX
Listed: Regulated Market in Dusseldorf, Frankfurt (Prime Standard); Regulated Unofficial Market in Berlin, Hamburg, Hanover, Munich, Stuttgart, Tradegate Exchange
EQS News ID: 985729


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985729  27-Feb-2020 CET/CEST







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