3rd Oct 2005 08:00
IMI PLC03 October 2005 3 October 2005 IMI plc IMI expands severe service capability in Asia IMI, the major international engineering group, today announces that it hasagreed to acquire the control valves business of ABB KK in Japan, a leadingprovider of severe service control valves to the Japanese power industry.Completion is expected to take place within the next month. The consideration, payable in cash is Y4.0bn (£20m). For the year ended 31December 2004, unaudited sales were Y3.4bn (£17m). The business has designed, manufactured, and serviced control valves in Japanfor more than 30 years, and has established a strong reputation with most of themajor Japanese power generating companies. Operating from Seishin, near Kobe,the operation employs around 70 people, including a talented and experiencedmanagement team, who will remain with the business. An additional £6m has also been invested to further strengthen CCI's presence inAsian markets. A new business has been established in China where IMI has 70%ownership in a joint venture with the Shanghai Power Station Auxiliary EquipmentWorks Co Ltd and full control has now been taken of the previously 50% ownedjoint venture in South Korea. IMI Executive Director, David Nicholas commented: "CCI's presence in Asian markets is significantly strengthened by thesedevelopments. The control valves business of ABB KK in Japan brings with it botha strong reputation in severe service applications and a substantial installedvalve population. "This acquisition, together with the developments in Korea and China, increasesour capabilities in markets where there is strong demand for our severe servicevalve expertise." - Ends - IMI plcGraham Truscott, Communications Director Tel: 0121 717 3712 Weber Shandwick Square MileNick Oborne / Stephanie Badjonat Tel: 020 7067 0700 Information about IMI plc can be found on the website: www.imiplc.com Note to editors: IMI plc is an international engineering business specialising in innovativesolutions and services for a wide range of industrial and retail customers. Itsfuture growth is being built on the two business areas of Fluid Controls (SevereService, Fluid Power, Indoor Climate) and Retail Dispense (Beverage Dispense,Merchandising Systems). IMI's operations in these two business areas share the following corecharacteristics: strong market positions in growing markets; the ability to beclearly differentiated from their competitors through technological innovationor after-sales service; and the provision of 'added value' through bespokesolutions rather than a high manufacturing or material content. IMI is quoted on the London Stock Exchange and is capitalised at approximately£1.5bn This information is provided by RNS The company news service from the London Stock ExchangeRelated Shares:
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