Trelleborg has signed an agreement for the divestment of an operation that produces high-technology protective products for professional users. Operations are mainly based in Sweden and Lithuania and are part of Trelleborg Engineered Systems. The buyer is Ansell Limited whose operational head office is in Red Bank, New Jersey, in the US. The divestment is a further step in Trelleborg Group’s strategy of focusing on selected segments.
“We have developed the operation in a satisfactory manner and it now has the opportunity to continue to evolve with a new owner,” says Peter Nilsson, President and CEO of Trelleborg. “Within this area, our core competences are material development and the production of polymer-coated fabrics, for protective products such as chemical protective suits and diving suits for professional use. A further development of the operation means that it will be farther away from our core competences, and that is not good for the operation or for Trelleborg. We are therefore satisfied with this solution,” concludes Peter Nilsson.
The divested operation had annual sales of approximately SEK 170 M during 2011. The purchase consideration amounted to approximately SEK 210 M and is expected to lead to a capital gain in accounting terms of approximately SEK 130 M after tax. The transaction is expected to be finalized in the second quarter of 2012. The parties have also reached a long-term agreement covering the supply of polymer-coated fabrics from Trelleborg.