Cheminova to acquire remaining ownership in Stahler

Date:07-05-2011

The German Stähler group has been a part of the Cheminova group since early 2008. The business integration has now proceeded to a point where the Stähler family has decided to divest the remaining 25% ownership stake to Cheminova.  The three family members active in the company will continue in the Cheminova group.

In January 2008, Cheminova acquired a 50% ownership stake in Stähler, and in March 2009 an additional 25% stake. The Stähler acquisition has strengthened Cheminova's market position in Europe through direct market access in Germany,  Austria and Switzerland and contributed to an improved product portfolio through several new, unique products and access to a formulation and packaging plant in Germany. Moreover, the business integration has resulted in a number of synergies. The opportunity to achieve further synergies will now be advanced compared to the originally planned acquisition of the remaining ownership stake in 2014.

The price for the remaining 25% ownership stake is approx. DKK 65 million in accordance with the option agreement entered in 2009. The payment will be made in part in cash and in part in shares in Auriga Industries A/S from the treasury shareholdings. The agreement is concluded today, and closing is expected early July 2011.

Stähler is already fully consolidated into the accounts of Cheminova and Auriga; consequently, the transaction is not expected to impact the previously announced outlook for the year.