Gunnebo takes over Fichet-Bauche

GUNNEBO IN ITS LARGEST ACQUISITION, TAKES OVER FICHET-BAUCHE, A LEADING SUPPLIER OF SECURITY PRODUCTS IN SOUTHERN EUROPE Gunnebo has, for MSEK 442 in cash, acquired 95,9 % of the shares of the quoted French company Fichet-Bauche S.A. from Paribas Affaires Industrielles, France and Copeba, Belgium. Gunnebo intends to acquire the remaining outstanding shares. Fichet-Bauche, with annual sales of MSEK 1 600, is market leader in France, Spain, Portugal and Belgium within safes and bank security products. Through the acquisition, Gunnebo consolidates its market leadership position with 35 % share of the market in Western Europe. Fichet-Bauche gives Gunnebo a strong position within Electronic Security and a platform for Gunnebo's furhter expansion into this high-growth segment. Fichet-Bauche is the best-known provider of security products and security systems in Southern Europe. The Group, headquartered in Velizy outside Paris, has 1 800 employees, of which one third outside France. The production units are located in Bazancourt (Reims), in Oust-Marest (North-western France) and in Granollers (Barcelona, Spain). Fichet-Bauche's main activities are within physical security products, primarily for the bank market (50 % of sales), software and hardware for electronic security systems and alarm monitoring (35 %) as well as locks and security doors (15 %). The Fichet-Bauche Group has sales of MSEK 1 600, of which the French market represents 50 % of group sales, Spain 20 %, Belgium 10 % and Portugal and Italy 5 % each. Other markets, where the group has its own sales organisations are Great Britain, Switzerland, Luxembourg and Cyprus, which is a base for business in the Middle East area. In addition, the group has an extensive distributor and agent network throughout the world. Fichet-Bauche is in France the undisputed market leader within physical and electronic security products to the bank segment with a 40 % market share. In addition, the company is the market leader in Spain, Portugal, Belgium and Luxembourg. The acquisition of Fichet-Bauche fulfils some vital strategic objectives for Gunnebo: Gunnebo now acquires a solid platform for further expansion in Southern Europe with strong market positions in France, Spain, Portugal and Italy. In addition to Gunnebo's market leadership in Germany and in Northern Europe, the acquired leading positions in France and Spain are vital steps towards the strategic objective to be market leader on all the biggest national markets in Europe. Gunnebo Asset Protection now attains 35 % share of the market in Western Europe and consolidates its leading position, with number two having around 15 % market share. This position gives increased competitive advantages in product development and the acquisition of Fichet-Bauche provides synergies that can further improve the efficiency in production as well as in marketing. For Gunnebo it is of strategic importance to complement the present range of physical security products with electronic security products (alarms, access control and CCTV) to provide complete concepts and solutions to the customers. Fichet-Bauche, with sales of MSEK 600 within electronic security, has a very interesting product range and good competence within this field and provides Gunnebo with an excellent base for further expansion within this fast-growing segment. After several years of losses, Fichet-Bauche has during 1998 undertaken a major restructuring programme to strengthen the profitability. Fichet-Bauche had sales of MSEK 1 600 in 1998 and an operating result of MSEK 41. The acquisition of Fichet-Bauche is foreseen to have a marginal influence on the financial result of the Gunnebo Group 1999. After the acquisition, the Gunnebo Group attains a yearly sales level of MSEK 5 700, of which security and safety products will represent 80 % and sales outside Sweden 80 % of Group sales. " The acquisition of Fichet-Bauche provides an important complement to the geographical presence of Gunenbo in Europe. Fichet-Bauche is market leader in France, Belgium, Spain and Portugal. In addition, Fichet-Bauche brings its proven competence within the electronic security field as a complement to our products. Gunnebo offers the opportunity for Fichet-Bauche to accelerate its development throughout Europe within the frame of a pan-European group in which Fichet-Bauche will be in a position to keep its identity." says Bjarne Holmqvist, President and CEO of the Gunnebo Group. Through the acquisition, the Gunnebo Group further concentrates its activities to the security and safety areas. Göteborg, April 21, 1999 GUNNEBO AB Information For further information please contact: Bjarne Holmqvist, President and CEO, Gunnebo AB tel: +46 (0)31-83 68 00 or mobile phone: +46 (0)708-40 03 70 Lennart Gustavsson, Senior vice President, Finance, Gunnebo AB tel: +46 (0)31-83 68 00 or mobile phone: +46 (0)705-93 40 80 ------------------------------------------------------------ Please visit http://www.bit.se for further information The following files are available for download: http://www.bit.se/bitonline/1999/04/21/19990421BIT00110/bit0001.doc http://www.bit.se/bitonline/1999/04/21/19990421BIT00110/bit0002.pdf