Outotec to sell its fabrication and manufacturing businesses in South Africa and Mozambique

OUTOTEC OYJ  PRESS RELEASE  MAY 10, 2019  at 9:00 AM

Outotec to sell its fabrication and manufacturing businesses in South Africa and Mozambique

Outotec has sold its fabrication and manufacturing businesses in South Africa and Mozambique to SPS Holdings Company. The transaction will become effective as of June 1, 2019. The parties have agreed not to disclose the acquisition price.

The South African facility in Brits serves primarily ferrochrome plants and the Mozambique facility provides services and spare parts for the aluminum industry. The combined annual sales has been approximately EUR 15 million. Majority of the 255 employees are working in fabrication and manufacturing and will transfer as old employees.

As of June 1, SPS Holdings will be providing fabrication services, site works and local supplies for Outotec's customers acting as the company's agent to the South African ferrochrome industry.

"SPS Holdings with its local operations is well-positioned to run these businesses. Outotec's service strategy is to offer expert services for our proprietary products, process and technologies. Together with SPS Holdings our joint aim is to use our local experience to build and grow a service-oriented business to help customers to get the best return for their investments," explains Tomas Hakala, head of Outotec's service business.

For further information please contact:

OUTOTEC

Tomas Hakala, President - Service business
Tel. [phone]

Saija Kinanen, Director - Corporate Communications
tel. [phone]

e-mails [e-mail]

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Source: Outotec Oyj via Globenewswire