POEYRY OYJ : Pöyry expands its energy business in Sweden by acquiring parts of engineering and consulting business from Vattenfall
04/14/2011| 02:35am US/Eastern
PÖYRY PLC Company Announcement April 14, 2011 at 9:30 a.m.
Pöyry PLC and Vattenfall AB have signed a sale and purchase agreement whereby Pöyry PLC acquires parts of the engineering consulting business of Vattenfall Power Consultant AB. The business, focusing on hydro power, wind power and power networks as well as thermal power, will be incorporated into a newly established company in Sweden to be called SwedPower AB.
The services provided by SwedPower range from advisory services to engineering and project management. The business is focused on three sectors: hydro power, wind power, power networks as well as thermal power. The operations are primarily in the Nordic region with the main focus on Sweden. The company will employ a staff of approximately 360 persons, the majority of whom are located in Sweden. In 2010, these businesses generated pro forma net sales of SEK 480 million.
The transaction is conditional to completion of a due diligence process, the agreement on transitional services and the final approvals of the Boards of Directors of Pöyry and Vattenfall. Completion is expected to take place at the latest by the end of June 2011.
Through a successful completion of this acquisition, Pöyry would strengthen its energy engineering business and increase Pöyry's market share in Sweden. Pöyry is currently the leading engineering and consulting company for forest industry in Sweden and plays an important role in the mining and minerals sector. With this acquisition, Sweden becomes one of the core markets for Pöyry.
Heikki Malinen, President and CEO of Pöyry: "Pöyry is very pleased to have the Vattenfall experts join Pöyry. Vattenfall has decades of experience from engineering and implementing projects in the energy sector. With Vattenfall experts joining Pöyry, we will together be able to offer our clients unique solutions in hydro, thermal, power networks and renewable energy. This joining of forces will also open major opportunities for common projects globally. For Pöyry, the acquisition is a major step in growing the energy business in Sweden."
Christopher Eckerberg, Vice President and Head of BU Engineering of Vattenfall: "We are pleased to have found a new owner for our Swedish engineering consultancy business in such a respected company as Pöyry. SwedPower will continue to be an important engineering partner for Vattenfall and a great place for our people to continue developing their skills."
Pöyry does not provide further information on the process at this stage.
Sanna Päiväniemi Director, Investor Relations, Pöyry PLC
tel. +358 10 33 23002
Pöyry is a global consulting and engineering company dedicated to balanced sustainability and responsible business. With quality and integrity at our core, we deliver best-in-class management consulting, total solutions, and design and supervision. Our in-depth expertise extends to the fields of energy, industry, urban & mobility and water & environment. Pöyry has 7,000 experts and a local office network in about 50 countries. Pöyry's net sales in 2010 were EUR 682 million and the company's shares are quoted on NASDAQ OMX Helsinki. (Pöyry PLC: POY1V).
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