ESSEN, Germany-Sept. 6, 1999--
RUTGERS AG, a subsidiary of the international energy and technology group RAG, announced today that it has acquired AlliedSignal's laminate systems business, a manufacturer of copper-clad laminate base materials for the electronics industry. The purchase price is US$425 million.
"This acquisition and now merger of AlliedSignal's laminate systems business with our laminates division, Isola AG, reflects RUTGERS strategy of expanding our global position in the chemicals and specialty plastics markets," said Eberhard von Perfall, Chairman of the Board of Management at RUTGERS. "Given that Isola and AlliedSignal's Laminate Systems are two businesses of approximately the same size, we believe this will be a merger of equals. The new company's combination of talented people, technological expertise, innovative products and processes along with global manufacturing presence will bring unmatched value to our worldwide customer base," he added.
The new Isola AG will be the global leader for copper-clad laminates in the key electronics markets of Europe, the United States and Asia Pacific. Copper-clad laminates are the base materials for the printed circuit boards used in high technology electronic applications including computers, telecommunications and automotive systems.
"According to industry forecasts, volume growth for base materials, is expected to range from 9-13%. Mergers and consolidations among printed circuit board manufacturers are driving expectations for a global materials supply base," said Michael Kowalski, spokesman for the Isola AG Board. "With this merger, we can offer high-quality, innovative products and services to our customers throughout the world," he added.
Executive Board members of Isola are: Donald D. Jobe, Augusto Meozzi, Dr. Peter Gaydoul and Michael Kowalski. Mr. Jobe has responsibility for all business functions in the US and Asia Pacific. Sr. Meozzi's responsibilities includes Europe, along with Sales & Marketing and Purchasing. Dr. Peter Gaydoul has responsibility for Finance and Human Resources. Mr. Kowalski continues as Board Spokesman and has special responsibility for Corporate Development.
The combined company has 14 production facilities; four in Europe (Germany, Scotland, Italy and Belgium), six in the USA (Wisconsin, Arizona, New York, California and two plants in South Carolina) and four in the Asia Pacific region (Taiwan, China, Singapore and the Philippines). The company's site in the Philippines is a joint venture with Sumitomo Bakelite of Japan. Headquartered in Duren Germany, Isola AG has a workforce of approximately 4,000. The new company is expected to record sales of US$914 million (approximately DM 1.6 billion) in 1999.
RUTGERS is a $US2.7 billion (DM 5 billion) industrial company focusing on the plastics and chemicals sectors. The company, headquartered in Essen, employs approximately 14,000 people in 12 countries worldwide.