Trelleborg divests Czech operation in technical rubber products
Trelleborg Group has signed an agreement to divest a Czech operation in technical rubber products. The company, which has its main business located in Nachod, in the Czech Republic, is recognized among Assets held for sale in the financial statements. The buyer is Kaprain, a Czech investment group.
The divested operation reported annual sales of approximately SEK 560 M in 2020. The sale does not have any material impact on the Group’s net profit.
The operation develops and manufactures a broad range of engineered polymer products, such as V-belts, specialty molded components for general industry, and inflatable rubber dams for infrastructure. It also undertakes rubber compounding activities and manufactures bicycle tires and tubes.
“It is highly gratifying to announce this divestment. Our review of the operation showed that it would require a strategy shift, necessitating additional investments to enable the development of the business in a way that would be relevant to Trelleborg in the long term. We have improved the operation in a satisfactory manner, generating enhanced profitability, and now it can be further developed by a new owner that has a stronger regional focus,” says Peter Nilsson, President and CEO of Trelleborg Group.
The transaction is expected to be finalized at the end of the third quarter or beginning of the fourth quarter 2021.