FRANKFURT (Reuters) - Thyssenkrupp unveiled plans on Thursday to spin off its capital goods business into a separately-listed entity, effectively splitting the conglomerate in two.
Below are the key facts of the two planned companies, to be called Thyssenkrupp Materials and Thyssenkrupp Industrials:
The new spin-off company will consist of:
- Elevator Technology, Thyssenkrupp's most profitable and valuable business
- Components Technology, which supplies the automotive industry, although the division's Bearings and Forged Technologies units will move to Thyssenkrupp Materials
- Industrial Solutions, Thyssenkrupp's plant engineering business, although its System Engineering unit, which builds production lines for cars, will be made a part of Components Technology
- Based on pro-forma figures for 2016/17, Thyssenkrupp Industrials would generate sales of about 16 billion euros ($18.7 billion) and have about 90,000 employees
- Existing shareholders of Thyssenkrupp will initially own a majority of Thyssenkrupp Industrials, while Thyssenkrupp Materials will hold the rest
- Based on pro-forma figures for 2016/17, Thyssenkrupp Materials would generate sales of about 18 billion euros and have nearly 40,000 employees
- Existing shareholders of Thyssenkrupp will continue to own 100 percent of Thyssenkrupp Materials
- This company will comprise Materials Services, Thyssenkrupp's largest division by sales which is active in the trading of steel and other materials and includes stainless steel unit Acciai Speciali Terni (AST)
- It will also own the 50 percent stake in a planned European steel joint venture with Tata Steel announced earlier this year
- Marine Systems, Thyssenkrupp's struggling shipbuilding division will also be a part of this business, as will the company's slewing bearings and forging operations
($1 = 0.8563 euros)
(Reporting by Christoph Steitz; Editing by Mark Potter)
This story has not been edited by Firstpost staff and is generated by auto-feed.
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Updated Date: Sep 28, 2018 00:05:53 IST