BE Group expands production services to engineering customers

BE Group has secured an agreement to acquire the Swedish metal processing group RTS. The acquisition strengthens BE Group’s production service offering to major engineering customers.

RTS maintains operations in Eskilstuna, Sweden and Rapla, Estonia, as well as a smaller-scale trading operation in Romania.

“This acquisition marks an additional step in BE Group’s strategy to advance its business along the value chain. RTS further complements our production capacity, opening up a new category of assignments in the heavy engineering segment,” says Roger Johansson, President of BE Group.

The company is calculated to generate annual sales of about SEK 90 M and has 35 employees. The acquisition is a combined net asset and equity transaction for which the net debt effect for BE Group is expected to be SEK 20 M.

BE Group is expected to take possession in February. The operations will be consolidated as of the date on which BE Group takes possession and are expected to have a positive effect on the earnings of the Group’s Business Area Sweden in 2011.

Roger Johansson, President, BE Group
Tel. 46 (0)733 188 758, E-mail: roger.johansson@begroup.com

Torbjörn Clementz, CFO and Executive Vice President 
Tel. 46 (0)70 869 07 88, E-mail: torbjorn.clementz@begroup.com

BE Group, listed on the Nasdaq OMX Stockholm since November 2006, is one of the leading trading and service companies for steel and other metals in Europe. The Group has about 10,000 customers, primarily in the construction and engineering industries. BE Group provides various forms of service for steel, stainless steel and aluminium applications. In 2010, the company reported sales totaling SEK 5.1billion. BE Group has about 900 employees in nine countries in northern Europe, where Sweden and Finland are its largest markets. The head office is located in Malmö, Sweden. Read more about BE Group at www.begroup.com

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