Trelleborg’s acquisition of CGS Holding finalized

Trelleborg has finalized the acquisition of CGS Holding a.s. – a privately-owned
company with leading positions in agricultural, industrial and specialty tires
as well as engineered polymer solutions. The total cash consideration amounted
to approximately SEK 10.9 billion on a cash and debt-free basis. CGS is
headquartered in the Czech Republic and generated sales of approximately SEK 5.6
billion in 2015 with an operating margin of 16.5 percent.

“It is highly gratifying to welcome CGS to the Trelleborg Group. The company has
long been on our list of interesting acquisitions. The acquisition means that
Trelleborg will almost double its sales in agricultural tires, strengthen its
leading position in industrial tires and add new positions in complementary
specialty tires segments. CGS’s engineered polymer solutions add new interesting
positions as well as strengthen Trelleborg’s existing leading positions in
several of the Group’s current business areas,” says Peter Nilsson, President
and CEO of Trelleborg.

CGS Holding includes the businesses Mitas, Rubena and Savatech. Mitas accounts
for approximately two-thirds of group sales and has strong mid-market specialty
tires brands with a particularly strong position within agricultural tires. The
offering of specialty tires is complemented by Rubena’s and Savatech’s niche
engineered polymer solutions businesses, including seals, sealing profiles,
specialty molded products, printing blankets and other engineered fabrics.

“We are convinced the agricultural market will recover, enabling us to benefit
from an attractive footprint when it does. Accordingly, we consider the purchase
consideration to be attractive considering the expected synergies and the future
recovery of the agricultural market,” concludes Peter Nilsson.

Mitas will be integrated into the Trelleborg Wheel Systems business area. During
transition, other operations will be independent from Trelleborg’s existing
operations before being gradually integrated into current business areas.

Following the acquisition, Trelleborg will have sales of about SEK 30 billion,
with about 23,000 employees in 47 countries.

The transaction will be consolidated from May 31, 2016. Non-recurring costs of
approximately SEK 70 million, related to the acquisition, will be charged to the
second quarter of 2016. Of this amount, about SEK 50 million will be charged
against reported operating income and about 20 million will be charged to net
financial items. No PPA effects are included in the above amounts.

The press release regarding the acquisition was published on November 9, 2015.
For further information, please contact:
Media: Vice President Media Relations Karin Larsson, 46 (0)410 67015, 46 (0)733
747015, karin.larsson@trelleborg.com
Investors/analysts: Vice President IR Christofer Sjögren, 46 (0)410 67068, 46
(0)708 665140, christofer.sjogren@trelleborg.com

This is information of the type that Trelleborg AB (publ) is obligated to
disclose in accordance with the Swedish Securities Exchange and Clearing
Operations Act and/or the Financial Instruments Trading Act. The information was
issued for publication on May 31, 2016, at 3:45 p.m. CET.
Trelleborg is a world leader in engineered polymer solutions that seal, damp and
protect critical applications in demanding environments. Its innovative
engineered solutions accelerate performance for customers in a sustainable way.
The Trelleborg Group has annual sales of about SEK 30 billion in over 40
countries. The Group comprises five business areas: Trelleborg Coated Systems,
Trelleborg Industrial Solutions, Trelleborg Offshore & Construction, Trelleborg
Sealing Solutions and Trelleborg Wheel Systems, and the operations of Rubena and
Savatech. In addition, the Trelleborg Group owns 50 percent of Vibracoustic, the
global market leader within antivibration solutions for light and heavy
vehicles. The Trelleborg share has been listed on the Stock Exchange since 1964
and is listed on Nasdaq Stockholm, Large Cap.
www.trelleborg.com