Atle sells AB Benzlers to Textron Inc

Atle sells AB Benzlers to Textron Inc Atle sells AB Benzlers to Textron Inc. The deal, which is subject to approval by competition authorities, generated a small exit loss. The deal does not include the subsidiary, Benzler & Co in Norrköping, which remains in Atle's ownership. AB Benzlers, which has its head office and production in Helsingborg, manufactures helical, worm and shaft-mounted gear systems and industrial screwjacks for the industry. The products are marketed via 12 foreign subsidiaries and a large number of agents. In 1998, AB Benzlers, excluding its subsidiary, Benzler & Co, reported sales of SEK 360M. Benzler & Co, which has its head office in Norrköping, mainly carries out sales of agency products within the transmission sector. In 1998, Benzler & Co reported sales of SEK 106M. The multi-industry Group, Textron Inc., which has its head office in Providence, Rhode Island (USA), owns operations within the industrial, aircraft, automotive and finance sectors all over the world. Benzlers will be incorporated into Textron's Industrial Segment's Power Transmission Products group, which includes David Brown in England and Cone Drives in the USA. These companies are considered to complement AB Benzlers eminently. Bo Ulvàn, President of Atle's engineering investments: "The deal means that Atle participates in a major restructuring of the sector for industrial gear systems. The new ownership environment means that Benzlers' competitiveness is significantly strengthened through collaboration with other operations within Textron Power Transmission Products. At the same time, Atle gets an opportunity to develop Benzler & Co on its own. The deal is thus of a structural nature." Stockholm, 27 October 1999 Atle AB (publ) For further information, please contact: Bo Ulvàn, President of Atle's engineering investments: tel +46 8-678 16 10 Facts about Atle Atle is involved with private equity investments. This means that the Company invests in unlisted companies and works actively with their development. After a few years' work, Atle, via a stockmarket listing or merger, will find new suitable domiciles for the companies and thus realise the growth in value. Since its start in 1992, Atle has invested in nearly 200 companies and exited more than 100. The yield on these exits has exceeded 50 per cent per annum. The business pace is high; some 20 companies are acquired per annum. Since 1993, the Group's profit has risen steadily from SEK 373M to SEK 953M in 1998.Atle, which is quoted on the A list of the OM Stockholm Exchange, has approximately 15,000 shareholders. ------------------------------------------------------------ Please visit http://www.bit.se for further information The following files are available for download: http://www.bit.se/bitonline/1999/10/27/19991027BIT00790/bit0001.doc http://www.bit.se/bitonline/1999/10/27/19991027BIT00790/bit0002.pdf