NACKA STRAND, Sweden, Aug. 3, 2004 (PRIMEZONE) -- Hexagon has acquired all outstanding shares in the American metrology company Romer Cimcore Inc. The acquisition, which is conditioned by the approval from relevant competition authorities, will be consolidated as of August 1, 2004 and will generate a positive contribution to Hexagons earnings from the start.
The company's main product is the"articulated arm" which is used to measure objects in three dimensions in a variety of industries. Romer Cimcore and, Hexagons recent acquisition, Romer S.A. (See Press Release dated July 15th 2004) were one company from inception in 1986 to a split in 1999. By re-merging the two companies under Hexagons helm a leading supplier of the technology is created. Romer Cimcores' R&D and manufacturing is located in Carlsbad, California, U.S.A. The products are distributed via external distributors as well as via subsidiaries all over the world. Romer Cimcores' sales turn over were 16 MUSD in 2003 and it has some 60 employees. The seller of the company, Mr Homer Eaton, will remain as responsible for the continued R&D efforts related to the articulated arms technology.
Hexagon will continue to operate Romer S.A. and Romer Cimcore Inc. according to today's concept. Synergies will be accomplished by complementing today's distribution channels with Hexagons channels which in turn should generate additional sales volumes. Furthermore; Hexagon will adapt its software, PCDMIS, to fit Romers products. By merging the two companies, Hexagon will create a strong R&D-organisation which in turn will result in a quicker product launch pace for portable measurement systems.
The acquisition will strengthen Hexagons presence in the articulated arms market. This will in turn lead to a strong presence in a rapidly growing segment of the metrology market. Hexagons resources in R&D will add a strong metrological know how to Romer S.A. and Romer Cimcore whilst Hexagons strong global sales- and service net work will sell and service Romer S.A.s' and Romer Cimcores' products. Romer S.A. and Romer Cimcore will strengthen the group in several specialty applications.
For further information, please contact:
Ola Rollen, President & C.E.O. Hexagon AB Tel: +46-8-601 26 20
Hexagon AB is a multinational engineering group with the long-term ambition of positioning itself as number one or number two within its strategic sectors. The operation is divided into four business areas: Hexagon Automation, Hexagon Engineering, Hexagon Metrology and Hexagon Polymers. The group's targets are to increase earnings per share after tax by at least 15 per cent p.a., and achieve a return on capital employed higher than 15 per cent over the business cycle. Current turnover amounts to more than 8 GSEK p.a.
This information was brought to you by Waymaker http://www.waymaker.net
The following files are available for download:
http://www.waymaker.net/bitonline/2004/08/03/20040803BIT20120/wkr0002.pdf