03.06.2010 Press-center of Sulzer
Sulzer (UK) Holdings Limited has received acceptances for its recommended cash offer in respect of over 90% of the share capital of Castle Support Services plc (“Castle”).
Castle is the sole owner of Dowding & Mills, a leading repair and maintenance service provider for generators and motors. As at 4:30 p.m. (London time) on June 2, 2010, Sulzer (UK) Holdings Limited had received valid acceptances from Castle shareholders in respect of approximately 94.52 percent of the existing share capital of Castle, including approximately 94.09 percent, which were subject to irrevocable undertakings to accept the offer given by certain directors and significant shareholders of Castle. Based on the level of acceptances received, the offer has become unconditional as to acceptances and Sulzer has declared the offer unconditional in all respects. Sulzer’s intends to procure that Castle applies to the London Stock Exchange for the cancellation of the admission to trading of Castle shares on the Alternative Investment Market (AIM) and to exercise its rights to acquire compulsorily any remaining Castle shares on the same terms as the offer.
With the offer to acquire Dowding & Mills, first announced on June 2, 2010, Sulzer will strengthen its service business. Dowding &Mills achieved annual sales of GBP 125.5 million (CHF 213 million) in the twelve months ended on June 30, 2009, with its repair and maintenance service for generators and motors. The electromechanical activities of Dowding &Mills will expand Sulzer’s technical competences and complement the current activities of Sulzer Turbo Services.
The intended combination of Sulzer Turbo Services and Dowding &Mills will create a leading independent provider of maintenance and repair services for turbomachinery, generators and motors with potential for further geographical expansion. Sulzer will maintain its strong financial position, allowing for further external growth.