Wärtsilä Corporation STOCK EXCHANGE RELEASE 31 March 2005 at 17.55 local time
Wärtsilä and DEUTZ AG have today closed the transaction transferring the DEUTZ medium and large marine engine service business to Wärtsilä. The necessary approvals by the regulatory authorities have been received.
The DEUTZ marine service business will be consolidated into Wärtsilä as from 31st of March. The acquisition price is EUR 115 million. The deal will be earnings enhancing and supports Wärtsilä’s profitability target.
The deal increases the installed engine base covered by Wärtsilä’s Service business by 12,500 MW, or 9%, to approximately 148,000 MW.
The acquired assets include customer information, know-how, intellectual property, spare parts stock and logistics worldwide. Wärtsilä also has the right to use the DEUTZ Marine brand.
Wärtsilä will be the supplier of original spare parts and services including technical support for these DEUTZ medium engines worldwide. The former DEUTZ marine workshops in Hamburg, Harlingen, and Montreal have now been taken over by Wärtsilä and remain operative. In other locations DEUTZ marine service is integrated with Wärtsilä’s own service network. To ensure a seamless transition of high quality service, staff from the DEUTZ organization have moved to Wärtsilä.
Further information: Mr Ben Wijkamp, Managing Director, Wärtsilä Nederland B.V., tel +31 6 531 40 134 and Ms Sophie Jolly, IR Manager, Wärtsilä Corporation, tel +358 10 709 5216.
For further information on Wärtsilä please visit www.wartsila.com.