CAMBRIDGE, ON, Sept. 25, 2020 /CNW/ - ATS Automation
Tooling Systems Inc. (TSX: ATA) ("ATS" or the "Company"), an
industry-leading automation solutions provider, today announced
that as part of its previously announced plan to reorganize its
Transportation business, it has entered into a conditional
agreement to sell certain assets and transfer employees of one of
its German-based subsidiaries to a third party.
Completion of the sale is subject to several closing conditions.
If the transaction does close, it is expected to partially mitigate
costs of the previously announced reorganization of its
transportation business. Financial terms of the transaction have
not been disclosed.
About ATS
ATS is an industry-leading automation
solutions provider to many of the world's most successful
companies. ATS uses its extensive knowledge base and global
capabilities in custom automation, repeat automation, automation
products and value-added services, including pre-automation and
aftersales services, to address the sophisticated manufacturing
automation systems and service needs of multinational customers in
markets such as life sciences, chemicals, consumer products,
electronics, food, beverage, transportation, energy, and oil and
gas. Founded in 1978, ATS employs approximately 4,400 people at 22
manufacturing facilities and over 50 offices in North America, Europe, Southeast
Asia and China. The
Company's shares are traded on the Toronto Stock Exchange under the
symbol ATA. Visit the Company's website at
www.atsautomation.com.
Note to Readers: Forward-Looking Statements
This news
release contains certain statements that constitute forward-looking
information within the meaning of applicable securities laws
("forward-looking statements"). Such forward-looking statements
involve known and unknown risks, uncertainties and other factors
that may cause the actual results, performance or achievements of
ATS, or developments in ATS' business or in its industry, to differ
materially from the anticipated results, performance, achievements
or developments expressed or implied by such forward-looking
statements. Forward-looking statements include all disclosure
regarding possible events, conditions or results of operations that
are based on assumptions about future economic conditions and
courses of action. Forward-looking statements may also include,
without limitation, any statement relating to future events,
conditions or circumstances. Forward-looking statements relate to,
among other things, entering into a conditional agreement to sell
assets and transfer employees, and expectation as to mitigation of
reorganization costs. The risks and uncertainties that may affect
forward-looking statements include, among others: the progression
of COVID-19 and its impacts on the Company's ability to operate its
assets, including the possible shut-down of facilities due to
COVID-19 outbreaks; the severity and duration of the COVID-19
pandemic in all jurisdictions where the Company conducts its
business; the nature and extent of government imposed restrictions
on travel and business activities and the nature, extent, and
applicability of government assistance programs, in both cases
related to the COVID-19 pandemic, as applicable in all
jurisdictions where the Company conducts its business; the impact
of the COVID-19 pandemic on the Company's employees, customers, and
suppliers; the impact of the global economy and general market
performance; performance of the transportation market; that the
closing conditions for the transaction are not met and the
transaction does not close; that the benefits derived from the
transaction are other than as expected, resulting in either a
smaller, neutral, or negative impact on reorganization costs; that
the reorganization plan is not implemented as anticipated, takes
longer than anticipated, and/or does not achieve the anticipated
benefits, resulting in delays, increased costs, and/or lower than
expected improvements to operating performance; management
effectiveness and disaster response preparedness, including
business continuity plans in response to COVID-19; that one or more
customers, or other entities with which the Company has contracted,
experience insolvency or bankruptcy with resulting delays, costs or
losses to the Company; political, labour or supplier disruptions;
risks relating to legal proceedings to which ATS is or may become a
party; exposure to product and/or professional liability claims;
and other risks detailed from time to time in ATS' filings with
Canadian provincial securities regulators. There can be no
assurance that forward-looking statements or information will prove
to be accurate, as actual results and future events could differ
materially from those anticipated in such statements. Accordingly,
you should not place undue reliance on the forward-looking
statements or information contained herein which speak only as of
the date they are made. Forward-looking statements are based on
management's current plans, estimates, projections, beliefs and
opinions, and other than as required by applicable securities laws,
ATS does not undertake any obligation to update forward-looking
statements should assumptions related to these plans, estimates,
projections, beliefs and opinions change.
SOURCE ATS Automation Tooling Systems Inc.