Siemens acquires UK’s Electrium

The

(A&D) Group has signed an agreement for the takeover of Cannock, West Midlands-based

, a vendor of electrical installation systems in the UK with access to markets in the near and Middle East.

The company employs around 700 people at four sites in Cannock and Brownhills in the West Midlands and Hindley Green and Wythenshawe in the North West of England.

Sales in fiscal year 2004/2005 (March 31) were approximately €109 million in a market worth around €960 million in the UK alone. The company was sold by Electrium's management and Lloyds TSB Development Capital which each own 50 per cent of the company. All parties have agreed not to disclose the purchase price.

"This is an important step for the global positioning of Siemens in electrical installation systems. The acquisition of this profitable vendor puts Siemens among the top three vendors in the UK. In addition, the strong Electrium brand is an outstanding supplement to our portfolio in the export markets of the near and Middle East", said Godehardt Schneider, Head of the Electrical Installation Technology Division at Siemens Automation and Drives.

Electrium's name and product brands will be retained along with the established distribution channels when it is acquired by Siemens.

"Siemens will continue to run the Crabtree, Wylex and Volex brands and supplement our portfolio with their products,” said Christopher Thomas, CEO of Electrium who will continue to manage the business. “Electrium's opportunities for growth are increased through access to Siemens' resources for research and development, logistics, and global sales and marketing. These are the ideal prerequisites for continuing the growth of recent years.”