Trelleborg acquisition of UK based Laird's automotive component activites
consolidates the Group's position as a world leader in the field of
The Trelleborg Group has signed an agreement with Laird Group Plc to
acquire the UK company's automotive components (LAC).
LAC has annual sales of approximately SEK 2.8 billion, with slightly more
than 3,000 employees at 16 production units in six countries, mainly in
Through this acquisition, Trelleborg strengthens its position as a world
leader in the field of antivibration products and systems for the
automotive industry. The Group's range of noise-reduction products for the
automotive sector is also extended and provides Trelleborg with another
market position to develop. The transaction complements the antivibration
product area and creates opportunities to promote strong growth in North
America and the rest of the world through Trelleborg's global network.
An attractive position is also gained within fluid systems for the
automotive industry, a product area with the potential to further develop
and expand within Trelleborg Automotive's business structure.
The purchase price for LAC is approximately SEK 1.5 billion, corresponding
to around 0.5 times the company's sales, or five times its earnings before
financial items and depreciation.
"The acquisition is in line with our strategy to grow our core business
into leading positions," says Trelleborg President and CEO Fredrik Arp.
"We strengthen not only our positions as a world leader within
antivibration, but also penetrate attractive product areas with growth
opportunities, such as noise-reduction and fluid systems."
Following this acquisition, it is estimated that Trelleborg's core
operations will have annual sales of around SEK 16.5 billion, with some
15, 500 employees in 40 countries.
Substantial synergies are anticipated as a result of the integration of
the LAC operations with Trelleborg's existing operations in the automotive
area. The cost-related synergies are expected to be realized within a two-
year period. A restructuring program to meet the costs of the integration
work will be set up in connection with the acquisition. Organizationally,
LAC will be placed in the Trelleborg Automotive business area under the
management of George Caplea.
It is estimated that the Trelleborg Group's earnings per share will be
positively affected with approximately SEK 1:00 already in 2001.
The acquisition, which is subject to the approval of the competition
authorities involved, is expected to be concluded early next year.
For further information please contact Senior Vice President Corporate
Communications at Trelleborg AB,
Mikael Byström, telephone. +46 708 55 21 69.
Trelleborg is a global industrial group undergoing a major process of
change. Operations are based on spearhead competence within polymer
materials and a high level of industrial know-how, with functional
solutions and systems designed to meet the needs of our customers. The
Group has annual sales of SEK 13.5 billion, with slightly more than 12,500
employees in 37 countries. Trelleborg consists of four business areas:
Trelleborg Automotive, Trelleborg Wheel Systems, Trelleborg Engineered
Systems and Trelleborg Building Systems. The Trelleborg share has been
quoted on the A list of the OM Stockholm Exchange since 1964.
Conference-call with Trelleborg in connection to
the acquisition of Laird's automotive component activities
In connection to Trelleborgs acquisition of UK based Laird Group Plc's
automotive compont activities there will be a conference call with the
management of Trelleborg today, November 15, 2000.
The conference call starts 09.00 UK time.
To participate in the conference call:
From UK 020 87 81 05 96.
Outsiden UK +44 20 87 81 05 96
During the conference call there will be a presentation of the acqusition
followed by a Q&A-session with the Trelleborg President and CEO Fredrik
On the homepage of Trelleborg "www.trelleborg.com" there will be a slide-
presentation of the acqusition. Click on "Financial information",
"Presentations" and then open this Acrobat-file. The file will be
published on the net when the conference call starts.
This information was brought to you by BIT http://www.bit.se
The following files are available for download: