EANS-News: Semperit AG Holding
Semperit and Sri Trang finalise termination of
almost all joint venture activities // Thomas Fahnemann to leave Semperit
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Joint Ventures/Cooperation/Collaboration/Board of Directors (Changes)
Today, the Austrian Semperit Group ("Semperit") and the Thai Sri Trang Agro-
Industry Public Co Ltd. Group ("Sri Trang") have finalised the termination of
almost all joint business activities, which was agreed on 18 January 2017. All
terms and conditions defined at that time have been fully met ("closing").
Semperit has now taken over several Sempermed joint venture companies, the
majority interest in the Malaysian Formtech (producer of ceramic moulds for
glove production) as well as production companies of the Industrial Sector in
China. Sri Trang has taken over the glove production of Siam Sempermed
Corporation Ltd (SSC) in Thailand, which had been operated jointly to date. In
Thailand, the joint venture Semperflex Asia (SAC) for the production of
hydraulic hoses will be continued.
Semperit received a one-time compensation payment amounting to USD 167.5 million
(around EUR 157 million) before taxes as well as a dividend payment of around
USD 51 million (around EUR 48 million) before taxes from the former joint
venture Siam Sempermed (SSC). The cash inflow for Semperit totals around
USD 200 million (around EUR 187 million) before taxes. Finally, all pending
arbitration and civil proceedings between the Semperit Group on the one hand and
the Sri Trang Group and SSC on the other hand were settled by mutual consent.
Sempermed: strong brand and modern production
Even after the separation, Semperit will remain one of the top ten players in
the global market for examination and protective gloves with the Sempermed
segment. Sempermed is one of the globally leading glove brands and has excellent
market access through its dense distribution network in Europe and North
America. This access to the market will be strengthened by the full takeover of
the sales company Sempermed USA.
On the production side, Semperit operates factories in Austria (surgical gloves)
and Malaysia, the world's largest glove producer. Currently, the capacities in
Malaysia are further expanded with the construction of one of the most modern
and efficient production facilities of the glove industry.
Thomas Fahnemann: "The resolution of the joint venture dispute is an important
step in Semperit's long history of success. With this step, Semperit can now
fully concentrate on continuing its own successful path. In the Industrial
Sector, Semperit is able to proceed its growth course according to plan by
further globalising the business and expanding capacities. In the Medical
Sector, Semperit is now fully in charge of its own house. With a strong brand,
high-quality products and first-class sales organisation the company has an
excellent base for further expanding Sempermed's market position in the core
markets, Europe and the USA. The cash inflow gives Semperit additional power for
this strategy. The financial strength now enables the company to push ahead
growth investments even better."
Furthermore, Semperit CEO Thomas Fahnemann requested the Supervisory Board to
immediately release him from his Management Board contract. Fahnemann explained
this step with seeking new professional challenges after the successful
termination of the joint venture transaction and the related realignment of
Semperit.
Veit Sorger, as Chairman of the Supervisory Board, expresses his regrets
concerning this step: "In the past six years, Thomas Fahnemann has guided
Semperit into a new direction. Semperit is an internationally successful company
with a convincing strategy that has been shaped to a significant extent by
Thomas Fahnemann. His personal achievements include the dynamic expansion and
realignment of the highly profitable Industrial Sector, the development of our
own glove production in Malaysia as well as the resolution of the joint venture
dispute with Sri Trang. Thanks to his dedicated management, Semperit is well
positioned today and will utilise its growth potential in the best possible way
even in a difficult market environment." A decision on his succession as CEO
will be taken in the coming weeks.
Further inquiry note:
For questions regarding the resignation of Thomas Fahnemann:
Jürgen H. Gangoly
Managing Partner
The Skills Group GmbH
T: +43 1 505 26 25 DW 13
M: +43 664 2000 260
E: gangoly@skills.at
For questions regarding the termination of the joint venture activities:
Martina Büchele
Group Communications Manager
Tel.: +43 676 8715 8621
martina.buechele@semperitgroup.com
Stefan Marin
Head of Investor Relations
Tel.: +43 676 8715 8210
stefan.marin@semperitgroup.com
end of announcement euro adhoc
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company: Semperit AG Holding
Modecenterstrasse 22
A-1030 Wien
phone: +43 1 79 777-210
FAX: +43 1 79 777-602
WWW: www.semperitgroup.com
sector: Synthetics & Plastics
ISIN: AT0000785555
indexes: WBI, ATX Prime, ViDX, Prime Market, ATX GP
stockmarkets: official market: Wien
language: English
Original content of: Semperit AG Holding, transmitted by news aktuell