Valmet Acquires Process Automation Systems Business from Metso for EUR 340 Million
Metso's Process Automation Systems business supply the pulp, paper, energy and other process industries.
Jan. 15, 2015 - Valmet Corporation and Metso Corporation have signed an agreement on the sale of Metso's Process Automation Systems business to Valmet on January 15, 2015. The enterprise value of the acquisition is EUR 340 million, which will be financed with committed long-term financing.
The acquired operations supply process automation and information management systems and related applications and services to the pulp, paper, energy and other process industries. The purchased operations employ about 1,600 people. Net sales for 2013 amounted to approximately EUR 300 million.
Currently, about 80 percent of Process Automation Systems sales comes from Valmet's current customer industries and the rest from other process industry clients.
It is estimated that the acquisition will be completed by April 1, 2015. The completion of the transaction is subject to approval by the competition authorities.
"Through the acquisition of Process Automation Systems, Valmet will become a technology and service company with full automation offering," said Pasi Laine, President and CEO of Valmet. "The acquisition will help Valmet in increasing its business stability, while also improving profitability.
"By combining paper, pulp and energy technology, process know-how, services and automation, we can serve our customers even better than before and move our customers' performance forward. This transaction has an excellent fit with our existing strategy and the timing is right for Valmet," Laine added.
Valmet expects to close the deal by April 1, 2015, upon approval by competition authorities.
Valmet Corporation is a leading global developer and supplier of services and technologies for the pulp, paper and energy industries. To learn more, please visit: www.valmet.com
SOURCE: Valmet Corporation