DGAP-Adhoc: SAF-HOLLAND S.A.:SAF-HOLLAND acquires subsidiary of Georg Fischer AG and strengthens its market position in the European truck industry

 | Source: EQS Group AG EQS Group AG 

SAF-HOLLAND S.A. / Acquisition/Capital Increase

28.08.2008 

Release of a Adhoc News, transmitted by DGAP - a company of EquityStory AG.
The issuer is solely responsible for the content of this announcement.
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SAF-HOLLAND S.A. and Georg Fischer AG, Schaffhausen (Switzerland), have
agreed that SAF-HOLLAND will acquire all the capital shares in Georg
Fischer Verkehrstechnik GmbH, Singen, a subsidiary of Georg Fischer AG. The
acquisition is an important step in SAF-HOLLAND’s growth strategy as this
move strengthens the Company’s position in the European market for fifth
wheels and facilitates it to become a significant supplier for this product
also of the European truck industry. It will be able to benefit from its
experience as a marketleader for fifth wheels in North America. Just 18
months after the combination of SAF and Holland, the Group is now
completing its European product range with technologically leading products
and expanding its European trailer business via the sector. All activities
that have been initiated since the merger of the two companies SAF and
Holland are developing speedily and smoothly. The transaction will further
accelerate SAF-HOLLAND’s growth path.

Georg Fischer Verkehrstechnik GmbH, which produces and sells fifth wheels
and trilex wheels for the commercial vehicle sector, generated sales in
2007 in excess of EUR 60 million with approximately 80 employees.
SAF-HOLLAND is expecting from the transaction an above average positive
effect on the overall result for 2009. Thereby SAF-HOLLAND will continue
the existing business activities of the Singen-based company. The
transaction requires the approval of the merger control authorities. The
parties have agreed not to disclose the purchase price.
It is planned to finance the acquisition through a mix of funds from
borrowings and additional equity. The SAF-HOLLAND S.A. Board of Directors
intends to approve a capital increase from the authorised capital of less
than 10 percent. SAF-HOLLAND intends to place the new shares with
institutional investors and therewith to increase the free-float. Pamplona
Capital Partners I LP, which currently holds more than 34.5 percent of the
shares of SAF-HOLLAND S.A., intends to subscribe in a material way to the
offering. Additionally they have agreed to provide a guarantee to
underwrite all new shares that cannot be placed.

SAF-HOLLAND has boosted its Group sales in the first half of 2008 by 11.3
percent to EUR 458.0 million (previous year: EUR 411.6 million). Adjusted
EBIT improved by 23.8 percent to EUR 37.5 million (previous year: EUR 30.3
million). With an adjusted EBIT margin of 8.2 percent, the Company remained
within its target range for 2008. Profit improved significantly during the
reporting period from EUR 3.1 million to EUR 17.3 million. Despite a
currently subdued environment, SAF-HOLLAND still expects to reach the lower
bound of its forecasted target range of EUR 900 to 950 million sales and
8.0 to 8.5 percent adjusted EBIT margin  for fiscal year 2008.

SAF-HOLLAND will release its half-year results on August 29, 2008.

SAF-HOLLAND S.A., a leading global supplier of complex, high-quality
components and systems for the trailer and truck industry, has a  product
range that encompasses axle and suspension systems as well as kingpins,
landing legs, and fifth wheels for trailers, trucks, and buses.

Board of Directors
Luxembourg, August 28, 2008
End of the announcement
DGAP 28.08.2008 
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Language:     English
Issuer:       SAF-HOLLAND S.A.
              68-70, boulevard de la Pétrusse
              L-2320 Luxembourg
              Luxemburg
Phone:        +49 6095 301 - 0
Fax:          +49 6095 301 - 260
E-mail:       info@safholland.de
Internet:     www.safholland.com
ISIN:         LU0307018795
WKN:          A0MU70
Listed:       Regulierter Markt in Frankfurt (Prime Standard); Freiverkehr
              in Berlin, Düsseldorf, Hamburg, München, Stuttgart
End of News                                     DGAP News-Service
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