Tyco International - Acqn.from Siemens Completed
November 25 1999 - 3:58AM
UK Regulatory
RNS Number:3797B
Tyco International Limited
23 November 1999
CONTACT:
J. Brad McGee
Tyco International (US) Inc.
Senior Vice President
(603) 778-9700
Tyco International Completes Acquisition of Siemens Electromechanical Components
Division
Hamilton, Bermuda, November 23, 1999 - Tyco International Ltd. (NYSE-TYC,
LSE-TYI,BSX-TYC), a diversified manufacturing and service company, announced
today that it has completed the previously announced acquisition of Siemens
Electromechanical Components GmbH & Co. KG (Siemens EC) from Siemens AG (Berlin
and Munich).
As announced on September 28, 1999, Tyco agreed to purchase Siemens EC for
approximately $1.1 billion in cash. Siemens will be integrated with Tyco
Electronics within Tyco's Telecommunications and Electronics segment. The
combined group will be the world leader in the manufacture of passive
electronics products.
Siemens EC, with sales of approximately $900 million, is the world market leader
for relays and one of the world's leading providers of components to the
communications, automotive, consumer and general industry sectors, offering a
broad spectrum of products ranging from individual components to intelligent
subsystems.
"Siemens Electromechanical Components business is an excellent fit with Tyco
Electronics and will have a significant immediate positive impact to earnings,"
said L Dennis Kozlowski, Tyco's Chairman and Chief Executive Officer. "From a
product standpoint, Siemens EC's relays are highly complementary with Tyco
Electronics' connectors and interconnect products and allow us to leverage our
customer relationships. From a market standpoint, the combination of Siemens
EC's strengths in the telecommunication industry and Tyco Electronics' in the
automotive industry provides powerful opportunities to enhance our combined
market position," he added.
Tyco International Ltd., a diversified manufacturing and service company, is the
world's largest manufacturer and servicer of electrical and electronic
components and undersea telecommunications systems, the world's largest
manufacturer, installer, and provider of fire protection systems and electronic
security services, has strong leadership positions in disposable medical
products, plastics, and adhesives, and is the largest manufacturer of flow
control valves. The Company operates in more than 80 countries around the world
and has expected fiscal 2000 revenues in excess of $25 billion.
Forward Looking Information
Comments in this earnings release concerning the earnings impact from the
Siemens EC acquisition and expected fiscal 2000 revenues are forward-looking
statements, which are based on management's good faith expectations and belief
concerning future developments. Actual results may materially differ from these
expectations as a result of many factors, relevant examples of which are set
forth in the "Management Discussion and Analysis" section of the Tyco's 1998
Annual Report to Shareholders, Tyco's 1998 Annual Report on Form 10-K Tyco's
Current Report on Form 8-K filed on June 3, 1999.
END
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