Invensys has signed an agreement to sell its Hansen Transmissions business to the German form of Allianz Capital Partners for 132 million Euros in cash.
Hansen Transmissions is a manufacturer of gearboxes and drive-trains focusing particularly on gearboxes for wind turbines and on industrial gearboxes for a wider range of applications such as material handling, water treatment and pulp and paper processes.
In the year ended 31 March 2004, the business reported sales of £88 million and operating profit of £2 million. The net operating assets of Hansen Transmissions which are the subject of the disposal were £111 million at 31 March 2004.
The transaction is expected to complete by the end of July. Proceeds from this disposal will be applied towards satisfying the Group’s liabilities.
The sale of Hansen Transmissions is conditional upon, among other things, anti-trust clearance.
Chief Executive Rick Haythornthwaite said: “The disposal of Hansen Transmissions is another successful step towards the creation of an Invensys made up of six attractive retained businesses, and the further reduction of our debt.”