ASSA ABLOY has closed the acquisition of Besam - world leader in door automatics
On 29 April 2001 ASSA ABLOY AB entered into an agreement with AB Industrivärden to acquire Besam. The regulatory officials have approved the acquisition and the companies will be consolidated from 1 July 2002. The purchase price is SEK 3,050 M for the debt-free company. The acquisition creates goodwill of about SEK 2,400 M, which to a large extent will be tax-deductible and amortized for 20 years. The acquisition is expected to contribute positively to earnings per share from 2003 and to generate positive cash flow from the outset.
The acquisition of Besam has been financed through the issue of 10,000,000 shares and through existing loan arrangements.
ASSA ABLOY's strategy is based on creating security solutions that prevent unauthorized entry while permitting safe and fast exit in emergency situations, and also being simple and convenient to use. Door automatics is a natural component of such solutions. Automatic products and systems are steadily growing in importance in society, and have formed only a limited part of ASSA ABLOY's product portfolio.
Besam is the world leader in the field of door automatics. With a product range consistsing of automatic door operators for swing doors, sliding doors and revolving doors. The company's market share in Western Europe and the USA for the different product groups varies between 15% and 30%. The company is represented in more than 60 countries and has its own subsidiaries in 20 of them. Service and maintenance form an important and highly profitable part of the business and account for more than 30% of sales. It is only in recent years that the company has started to focus on this side of the business. Growth is currently running at more than 10% and there is substantial potential for development.
The ASSA ABLOY Group is the world's leading manufacturer and supplier of locking solutions,
dedicated to satisfying end-user needs for security, safety and convenience. The Group has about 30,000 employees and annual sales of about EUR3 billion.
ASSA ABLOY is the global leader in door opening solutions and offers mecahnical and electromechanical locks, digital door locks, security doors, entrance automation, hotel security and secure identity solutions, primarily in identity and access management, as well as a number of other related products and services.
Since its formation in 1994, ASSA ABLOY has grown from a regional company into an international Group with some 47,500 employees operating in more than 70 countries and sales of SEK 76 billion.