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Toni Eriksson
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Tuesday, 15 July 2008 |
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Saab AB divests 100 percent of the shares in Saab Space AB including its subsidiary Austrian Aerospace to the Swiss company RUAG Holding AG.
The divestment requires approval of competition authorities before completion.
"As early as in November 2007, Saab concluded that there were reasons to consider a sale. Saab Space is well managed and profitable, but we have not been able to reach sufficient synergies with other operations within Saab and as a result not the desired possibilities of growth and profit. It was considered to be a good time to act since a consolidation process in the European space industry is ongoing.
At Saab we put up two conditions to carry through a sale: To find a professional buyer with the ambition to further develop the operations and to get a fair price. With RUAG we have been able to reach an agreement that fulfils both conditions. The price is acceptable and RUAG is a company that in our view has the capability of further developing the operations of Saab Space and Austrian Aerospace." says Saab CEO Åke Svensson.
The purchase price for the shares amounts to 335 MSEK. In addition to the fixed purchase price, Saab is entitled to an additional consideration related to the long-term positive performance of Saab Space. The transaction will generate a capital gain to Saab during 2008 of approximately 100 MSEK.
Saab Space is a leading independent supplier of highly qualified space equipment: Computer systems, Antennas and Microwave electronics for satellites and Adapters and separation systems for launchers. Saab Space is headquartered in Gothenburg, Sweden, with a division for mechanical systems located in Linköping, Sweden. Saab Space also has a fully owned subsidiary in Vienna, Austria, named Austrian Aerospace, focused on digital signal processing, thermal hardware, mechanisms and mechanical ground support equipment. In 2007, more than 90 percent of Saab Space sales represented exports.
The RUAG technology group is an international aerospace and defence specialist with strong technological skills. The Group´s holding company is based in Berne (Switzerland) and is 100% owned by the Swiss Confederation. RUAG has development and production sites in Switzerland, Germany and Sweden. In Aviation & Space RUAG are a leading supplier and integrator of systems and components for military and civilian aerospace applications. As a dependable niche player RUAG has operated for many years as a reliable partner of ESA and many commercial space companies worldwide.
Saab serves the global market with world-leading products, services and solutions ranging from military defence to civil security. Saab has operations and employees on all continents and constantly develops, adopts and improves new technology to meet customers´ changing needs. |
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