MAAG Gear AG, FLSmidth’s Swiss subsidiary, has today agreed to sell its marine and turbo gear activities to Renk AG, which is part of the MAN Group.
The parties have decided not to disclose the selling price.
- We have decided that MAAG Gear should in future concentrate on gears for the cement and minerals industries to align the FLSmidth Group’s gear activities with the strategy for the rest of the Group. MAAG Gear will therefore become 100% focused on the Group’s main business - the supply of complete plants, machinery, equipment and services to the cement and minerals industries. I am convinced that the sharper focusing, its proven high quality and a recognised brand will give MAAG Gear the best possible conditions for future growth as one of the leading providers of gears and services to the cement and minerals industries, says Bjarne Moltke Hansen, Group Executive Vice President, FLSmidth.
The transaction is not expected to have any influence on the results for 2006 and 2007. But on a long term it is expected to have a decent positive influence on the results.