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Von Roll Holding to sell its transformer business
As part of the company's strategy to refocus on core business, Von Roll Holding AG has decided to sell its transformer business unit to the Swiss-based company International Transformer AG.
Von Roll Transformers Ltd., which has production facilities in Israel, was taken over from Elco in fall 2008. In view of the lack of synergy effects with the core business and the losses suffered over the past few years, the sale of the transformer business will allow Von Roll to take a further step forward in terms of pursuing its new strategic direction.
The plant in Israel, which employs around 200 people, produces and supplies solutions for the transmission and distribution of energy.
This transaction will have a final non-recurring negative impact of about CHF 33 million (EUR 27.4 million) in the Von Roll Group's current financial year. The impact may be alleviated by potential improvements later on. At the same time, the sale of the transformer business will bring in liquidity worth approximately CHF 40 million (EUR 33.2 million).
Aside from consolidating and optimising its plants, Von Roll is now focusing on attractive market segments in the Insulation and Composites divisions. The implementation of the strategy is progressing according to plan.
