By Liz White, ERJ staff
SaarbrÃ¼cken, Germany-RAG Saarberg AG has signed to sell its wholly owned SaarGummi GmbH unit to a private equity group advised by Munich-based Orlando Management GmbH. Details of the purchase price were not revealed. The sale of the BÃ¼schfeld, Germany-based rubber profiles producer is expected to be completed by 31 Aug 2004.
SaarGummi-which makes elastomer-based profiles and moulded rubber components for the automotive and other sectors-had turnover for 2003 of Euro 289 million and employs nearly 4000, at plants in Europe, Asia and the US.
Expressing satisfaction at the speed of the agreement, Dr Michael Karrenbauer, a member of the RAG Saarberg board, explained that the deal meets RAG's aim of focusing on its energy division.
Pointing out that Orlando Management's strategy is to participate only in healthy enterprises, Dr Henrik Fastrich, acting partner with Orlando, said SaarGummi is a good fit with this strategy.