Balda AG / Key word(s): Strategic Company Decision
Balda increases focus on the Asian growth regions and on the Touch segment
– Managing Board pushes ahead with restructuring of the high-tech company
– Balda Medical is developing better than planned and remains an important
part of the Balda Group
– Sale of remaining European business possibly in 2007, potential buyers
already displaying interest
– growth expectations for the continued operations remain positive for
Bad Oeynhausen, September 28, 2007 – Looking ahead Balda AG will focus to
an even greater degree on the growth regions in Asia and on the Touch
segment. ‘The future of our technology-driven company lies in Asia. The
important mobile telephone manufacturers produce there, and we are
excellently positioned there – and above all in combination with the Touch
segment,’ said Joachim Gut, the Chairman of the Managing Board, in Bad
Oeynhausen. The Balda Group will concentrate to an even greater degree on
these profitable growth markets in the future.
Balda Solutions Europe is also seeing a positive trend for 2007, yet is
increasingly focusing on markets which are not part of Balda’s core
business. For this reason these activities are to be sold in the course of
the current year where possible. The objective is that of selling to an
entrepreneurial investor, who will utilize the existing capacities. Balda
Medical is developing better than planned and remains an important part of
the group. The continued operations are profitable in 2007 and are also set
for growth in 2008.
Balda Solutions Europe currently manufactures in Germany with some 500
employees of its own; in Hungary the company employs approximately 150
employees of its own and some 250 staff through temporary employment
agencies. As initial exploratory talks have revealed, there is major
interest in the qualified employees and the existing know-how. ‘We intend
to conduct the sale swiftly yet not too hastily,’ said Gut. In the course
of the planned sale of the remaining European business there will be
structural changes in the holding company. This will lead to cost savings
from 2008 onwards.
Balda Medical is developing better than planned and will clearly surpass
the sales target of 25 million euros in 2007. For the discontinued
operations a loss is expected in the third and fourth quarters of the
current year. The continued operations will – as planned – attain a
positive pre-tax result (EBT) in the third quarter and for 2007 as a whole.
The positive growth expectations for 2008 are also unchanged.
* * *
Company profile Balda AG
The internationally operating Balda develops and produces highly integrated
devices comprising plastic, metal and electronic compo-nents, among other
things for touch sensors. Among the customers of the SDAX listed company
are international brand-names from the mobile telephony industry, medical
technology and various related markets.
The group has a strong position in the important growth markets China and
India and owns four production facilities in the region. With manufacturing
facilities in Germany, Brazil, Hungary and in the important growth markets
China and India as well as in Malaysia Balda is excellent positioned.
* * *
On Friday, September 28, 2007, a conference call will be held on 12:00 noon
(CEST) in German for journalists. Please dial in 10 minutes prior to the
start of the conference, dial-in number is as follows: + 49 69 22 22 22 20.
On 1 p.m. (CEST) on the same day another conference call will be held for
investors and analysts in English. Please dial in 10 minutes prior to the
start of the conference, dial-in number is as follows: +49 68 22 22 22 43.
* * *
If you have any questions please contact: Balda AG, Clas Röhl, Phone: +49
(0) 5734 922 – 2728, Fax: +49 (0) 5734 922 – 2691, Mail: email@example.com,
* * *
This press announcement includes ‘forward-looking statements’ which are
based on the current expectations of the management of Balda. They are
subject to risks and uncertainty because they relate to events and depend
on circumstances that will occur in the future, such as, for example,
developments in the mobile communications industry, changes in technology
and the ability to timely and successfully develop new products and various
other factors. Balda does not undertake any obligation to update publicly
or revise forward-looking statements except to the extent legally required.
This press announcement is not an offer of securities for sale or a
solicitation of an offer to purchase securities in the United States or
elsewhere. The shares in Balda AG (the ‘Shares’) may not be offered or sold
in the United States or to or for the account or benefit of U.S. persons
(as such term is defined in Regulation S under the U.S. Securities Act of
1933, as amended (the ‘Securities Act’)) unless registered under the
Securities Act or pursuant to an exemption from such registration. The
Shares have not been and will not be registered under the Securities Act.
28.09.2007 Dissemination of a Corporate News, transmitted by DGAP –
a company of EquityStory AG.
The issuer is solely responsible for the content of this announcement.
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Company: Balda AG
Bergkirchener Str. 228
32549 Bad Oeynhausen
Phone: +49 (0) 57 34 / 9 22-0
Fax: +49 (0) 57 34 / 9 22-2604
Listed: Regulierter Markt in Frankfurt (Prime Standard); Freiverkehr
in Berlin, Düsseldorf, Hamburg, Hannover, München, Stuttgart
End of Announcement DGAP News-Service