Prysmian: Acquisition of german cables manufacturer Facab-Lynen.

Prysmian, a worldwide leading player in the energy and telecom cables sectors, announces the closing of the transaction for the acquisition of 100% of German cables manufacturer Facab Lynen Gmbh & Co. KG. Withsalesof €62 million in 2007, one manufacturing plant and 270 employees, Facab-Lynen is a German leading player in the higher value-added market of industrial cables, in particular for renewable energy, transport and mining sectors.

The financial structure of the operation foresees for Prysmian a global acquisition cost of approximately €29 million, that include, in addition to the price of €3.5 million (subject to adjustment), the consolidation of Facab-Lynen net financial debt amounted to   €13 million in 2007 and the pension fund liabilities. 

The strategic plan to reinforce Prysmian’s presence in German market envisages to bring Facab-Lynen’s profitability to the same levels of the Group, through increases in production capacity and the integration of facilities.

In Germany Prysmian is present with 2 production plants and in 2007 achieved revenue of €450 million, counting among its clients all major utilities, multinational industrial groups and worldwide operating wholesalers. According to its growing strategy in higher value-added markets and products, through the acquisition of Facab-Lynen Prysmian further reinforces its position in the industrial cables market, particularly in the growing renewable energy sector.

A leading player in the industry of high-technology cables and systems for energy and telecommunication, the Prysmian Group is a truly global company with sales exceeding 5 billion euro in 2007 and a strong position in higher-added value market segments. With its two business, Energy Cables & Systems (submarine and underground cables for power transmission and distribution, for industrial applications and for the distribution of electricity to residential and commercial buildings) and Telecom Cables & Systems (optical cables and fibres and copper cables for video, data and voice transmission), Prysmian boasts a global presence with subsidiaries in 36 countries, 54 plants in 21 countries, 7 Research & Development Centres in Europe, USA and South America, and over 12,000 employees. Specialising in the development of products and systems designed to meet clients' specific requirements, Prysmian's key strengths include: a focus on Research & Development, the capacity to innovative on products and production processes, and the use of advanced proprietary technologies. Prysmian is listed on the Milan Stock Exchange Blue Chip index.