2023-10-26 06:30:00
Zurich (awp) – The machine manufacturers Starrag and Tornos, both owned by entrepreneur Walter Fust, will merge their activities under the name StarragTornos Group. General meetings of the two companies will still have to validate the marriage.
The two boards of directors signed a merger agreement on Wednesday, the companies announced Thursday in a press release. The respective boards of directors of the two firms recommend to their shareholders to accept this union at the general meeting of Starrag on November 29 and that of Tornos on November 30.
This operation “will create a strong new group that will significantly contribute to shaping the future of the global metal cutting machine tool industry,” both parties underlined. They believe that their union represents “the right response to face current and future challenges” by “considerably” increasing their global presence and developing “interesting synergy potential”.
On a pro forma basis, the two firms – present in around fifteen countries with 2,000 employees – would have together recorded a turnover of 499 million Swiss francs last year, an operating result (Ebit) of 29, 6 million and a net profit of 20.8 million. In the medium term, they expect average annual sales growth of around 5% and an Ebit margin of around 8%.
In the medium term, sales synergies of 10 to 15 million Swiss francs are anticipated. On the cost side, savings of 5 to 10 million are expected.
In detail, Starrag will propose the creation of new shares with a capital increase of 17.9 million Swiss francs, through the issue of 2.1 million new registered shares with a unit value of 8.50 Swiss francs .
To date, Walter Fust owns a majority stake in Starrag and almost half of the share capital of Tornos.
New management
These new securities will be used for a share exchange with Tornos. Shareholders of the latter will receive for each Tornos share with a par value of 1 franc respectively 0.1059 Starrag shares with a par value of 8.50 Swiss francs.
Tornos will subsequently be delisted from the Swiss Stock Exchange on December 7, while the new shares of the merged entity must be listed on SIX Swiss Exchange the following day.
Michael Hauser, current president of Starrag and CEO of Tornos, is expected to lead the board of directors and take over operational management of the merged group.
He will sit alongside Tornos’ financial director, Stéphane Pittet. Martin Buyle and Jens Thing will also join the general management of the future group, respectively as boss of the Starrag division and head of the Tornos unit.
The merger must be finalized on December 7.
al/jh/vj/rq
1698304295
#Starrag #Tornos #merge #October