TTI Signs Agreement to Acquire Milwaukee(R), AEG(R) and DreBo(R) From Atlas Copco AB
August 30 2004 - 11:57PM
PR Newswire (US)
TTI Signs Agreement to Acquire Milwaukee(R), AEG(R) and DreBo(R)
From Atlas Copco AB Acquisition bolsters TTI's global brand
portfolio HONG KONG, Aug. 30 /Xinhua-PRNewswire-FirstCall/ --
Techtronic Industries Co. Ltd. ('TTI') (HKEx stock code 669; ADR
symbol: TTNDY) today announced that it entered into a stock
purchase agreement to acquire Atlas Copco AB's electric power tool
and accessories business, currently conducted through Milwaukee
Electric Tool Corporation and Atlas Copco Electric Tools GmbH and
certain other entities under the brand names 'Milwaukee(R)' and
'AEG(R).' The net cash consideration for the purchase is US $626.6
million on a debt- free basis, consisting of a total pre-adjustment
purchase price of US$712.8 million less an agreed pre-closing
adjustment of US$86.2 million. The transaction, which is subject to
regulatory clearances and customary closing conditions, is expected
to close prior to the end of 2004. Mr. Horst J. Pudwill, Chairman
and CEO of TTI said, 'We are pleased to add the Milwaukee(R) and
AEG(R) brands of power tools and DreBo(R) carbide drill bits to our
growing family of global brands. With their 80-year histories,
Milwaukee(R) is one of the most widely respected brands in the
professional contractor market segment and in Europe, AEG(R) brings
an additional highly respected brand to our portfolio. This
acquisition takes advantage of our marketing and distribution
networks and enhances our reach into the industrial/construction
channel and power tool accessory market. The TTI Group is confident
in its ability to continue generating strong double- digit returns
for its shareholders.' For details, please see our release and
announcement at http://www.ttigroup.com/ . About TTI Founded in
1985, TTI is a leading manufacturer and supplier of home
improvement and floor care products, employing over 16,000 people
worldwide. TTI's global brand portfolio includes Ryobi(R) power
tools, Homelite(R) and Ryobi(R) outdoor power equipment, Royal(R),
Dirt Devil(R), Regina(R) and VAX(R) floor care appliances. The
company has enjoyed continuous growth since its listing on the Hong
Kong Stock Exchange in 1990, achieving double-digit growth for nine
consecutive years. TTI is one of the constituent stocks on the Hang
Seng HK MidCap Index under the Hang Seng Composite Index, the MSCI
Hong Kong Index, the FTSE All-World Hong Kong Index and the
FTSE/Hang Seng Asian Cyclical Index. For more information, please
visit http://www.ttigroup.com/ . Contact: Yammie Tang Techtronic
Industries Co. Ltd. DATASOURCE: Techtronic Industries Co. Ltd.
CONTACT: Yammie Tang of Techtronic Industries Co. Ltd., Web site:
http://www.tti.com.hk/
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