Trelleborg’s divestment of Vibracoustic shares finalised
Following the necessary approval from relevant authorities, Trelleborg has divested all its shares in the Vibracoustic joint venture to former partner Freudenberg. As of 5 July the Swedish company has received a payment of approximately SEK 6.2 billion (£556.4 million) for the shares, and the remaining 10 per cent of the purchase price is subject to Vibracoustic’s forecast sales performance this year and in 2017. Accordingly, Trelleborg reports that the final consideration “may be somewhat higher or lower than SEK 6.8 billion (£610.7 million).” In addition to the purchase price, Trelleborg received a dividend of approximately SEK 1.4 billion in December 2015.
The total purchase price of approximately SEK 6.8 billion will be reported as a receivable in the interim report for the second quarter 2016. The transaction will result in a capital gain of approximately SEK 4 billion, of which the full amount will increase Trelleborg’s equity.
The TrelleborgVibracoustic joint venture was formed in July 2012 by Trelleborg’s former Trelleborg Automotive business area and Freudenberg’s corresponding operation in antivibration solutions, Vibracoustic. Both companies owned an equal share in the joint venture, which was renamed Vibracoustic in April 2016.