FAGERSTA, Sweden, July 31, 2003 (PRIMEZONE) -- In a press release issued on July 9, 1999, Seco Tools announced the acquisition of 75 percent of the shares in the Indian company Drillco Ltd. in Pune. With the goal of further improving the possibilities of a favorable sales trend in India, Seco Tools has now reached an agreement on the acquisition of the outstanding 25 percent of the shares in the company.
The completion of the acquisition is part of the Group's strategy of maintaining an active presence in large industrial markets of the world. India is a large and expanding market in the field of metalworking and it is assessed that a wholly owned manufacturing company will further positively strengthen Seco's position in selected industrial sectors.
With access to Seco Tools' know-how and resources, complemented by a proprietary product program adapted to the Indian market, the possibilities for increasing sales in the next few years are assessed as favorable. Drillco Seco, which is a leading tools manufacturer for the automotive industry in India, has annual sales of approximately SEK 40 M and 170 employees.
The acquisition of the outstanding shares is not expected to affect earnings per share for 2003.
For additional information, contact Lars Renstrom, President and CEO (Tel: +46 223-401 10) or Tomas Eliasson, CFO (Tel: +46 223-401 20). E-mail can be sent to: investor.relations@secotools.com
Previously published financial information is available under "Investor Relations" at the Seco Tools' website (www.secotools.com)
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