In the context of achieving capital market readiness of TRATON AG, Volkswagen AG and TRATON AG with consent of their respective corporate bodies today have agreed on the sale of the 76 % stake of MAN SE in listed Renk Aktiengesellschaft as well as the 100 % stake of MAN SE in MAN Energy Solutions SE to a subsidiary of Volkswagen AG. The purchase price shall correspond to the expected IFRS equity book value of these participations as of 31 December 2018 in the range of approx. EUR 1.85 bn. to approx. EUR 2.05 bn. In addition, the indirect 100% participation of MAN SE in MAN Energy Solutions USA, Inc., will be sold and transferred to a subsidiary of Volkswagen AG for a purchase price of approx. USD 99 m. The transferred entities form MAN group’s business area Power Engineering. The sale is intended to be completed by year-end 2018. As a result of this transaction, TRATON AG will become the lead company of a pure truck & bus group.
Frank Witter, member of the Management Board of Volkswagen AG responsible for Finance and IT: “In the light of our decision to prepare TRATON for a possible initial public offering (IPO), separating the Power Engineering business is a consistent step. The final decision on the IPO will be taken at the respective point in time depending on the market environment and economic conditions.”
Andreas Renschler, CEO of TRATON AG and member of the Management Board of Volkswagen AG responsible for Commercial Vehicles, said: “With the planned sale of the business, we can focus on our core business in the future.” And further: “Thereby, we are refining our portfolio and taking another step towards capital market readiness.”
MAN Energy Solutions SE together with MAN Energy Solutions USA, Inc. and Renk AG form the Power Engineering business area of MAN SE, which belongs to TRATON AG. With its headquarters in Augsburg, MAN Energy Solutions (formerly known as MAN Diesel & Turbo SE) is one of the world’s leading developers and manufacturers of large-scale diesel engines, turbo compressors, industrial turbines and chemical reactor systems. The company has approximately 14,000 employees. Renk, in which MAN SE holds a 76% stake, is a manufacturer of specialized gearboxes, drive technology components as well as testing systems.
SOURCE: Volkswagen
