Funkwerk sells Enterprise Communication segment
Key milestone in group reorientation
The purchase contract was signed today for Funkwerk Enterprise Communications GmbH in Nuremberg and its subsidiaries Funkwerk IP-Appliances GmbH (Nuremberg), Funkwerk Aphona GmbH (Vienna, Austria), Funkwerk Enterprise Communications France S.A.S. (Gradignan Cedex, France), and Funkwerk Enterprise Communications Italia S.R.L. (Milan, Italy). The sale excludes the group's inactive subsidiaries in Germany and Spain as well as the controlling interest of Funkwerk Enterprise Communications GmbH in Funkwerk ES Iberia S.L. (Majadahonda/Madrid, Spain). Execution of the contract is subject to the usual conditions precedent and to a reservation of consent in favour of the banking consortium of Funkwerk AG. The Executive Board expects the conditions precedent to occur and the consent of the consortium banks to be obtained before the end of the current 2011 financial year.
Funkwerk Enterprise Communication GmbH specialises in telecommunication systems and data security solutions. Its focus is on intelligent networks with customised features for intra- and cross-company communication. Including the subsidiaries sold under the contract, sales generated in the 2010 financial year amounted to around EUR 28m, with a positive EBIT after head office charges of around EUR 0.5m. With consolidated sales in the current 2011 financial year amounting to around EUR 21m, the Enterprise Communication segment produced a balanced, if not slightly positive, EBIT as at 30 September.
The number of employees averaged 140. The Teldat group is a leading European technology holding specialising in the production and sale of IP solutions for the business environment and operates in more than 35 countries. In fiscal 2010, the holding generated sales of around EUR 45m with a workforce of some 600 employees.
The Funkwerk group, which reported consolidated sales of around EUR 211m in 2010, employing an average of around 1,372 people, focuses on solution-oriented information and communication systems for applications in transport and traffic, security and vehicles. As part of its strategic reorientation since 2011, Funkwerk has concentrated exclusively on pushing growth fields with strong margins while separating from peripheral areas. The sale of its EC segment signifies one of the most important steps of the group, as it means that the resources of the company can, as a result, be utilised more specifically while organisational structures are optimised. A further key milestone had already been reached early in September with the sale of Alpha Meß-Steuer-Regeltechnik GmbH, another company which had not been part of the core business of the Funkwerk group.