ABB to divest wire rod and winding wire businesses

Industri Kapital to acquire three companies in Sweden, Germany.

Zurich, Switzerland, November 21, 1997 - ABB, the global engineering Group, has signed an agreement with Industri Kapital to sell ABB's wire rod and
winding wire businesses in Sweden and Germany. The three companies to be sold - AB Elektrokoppar, based in Helsingborg, Sweden, AB Dahréntråd,
based in Nossebro, Sweden, and ABB Isodraht GmbH of Mannheim, Germany - employ approximately 540 people, with total sales in 1996 of
approximately US$ 550 million. The companies produce copper and aluminum wire rod for cable manufacturers, as well as winding wire for use in industrial

"The divestiture is in line with ABB's strategy to focus on its core businesses and to divest non-core activities to strong partners," said Göran Lindahl, ABB
President and Chief Executive Officer. "ABB expects that many of the long-standing commercial relationships it has with the three companies will continue."

"The three companies combined have a leading position in the Northern European wire rod and winding wire markets that can be used as a base for further
geographic expansion in the consolidating European market," said Harald Mix, Deputy Chief Executive Officer of Industri Kapital. "This is consistent with
Industri Kapital's investment strategy to invest in companies that have strong management and a potential to achieve market leadership."

Industri Kapital is a leading private equity investment firm in Northern Europe with funds under management of approximately ECU 1 billion. Since 1989 the
company has completed 20 investments.

Elektrokoppar, Dahréntråd and ABB Isodraht are all members of ABB's Power Transmission and Distribution segment, which employs 51,000 people
worldwide with orders in 1996 of approximately US$ 10 billion. The ABB Group employs about 216,000 people worldwide with orders in 1996 of US$ 36
billion. (End)

    •   Cancel
      • Twitter
      • Facebook
      • LinkedIn
      • Weibo
      • Print
      • Email
    •   Cancel

    Contact us

    • John Fox
      ABB Corporate Communications, Zurich
      Tel. +41 1 317 7371
      Fax. +41 1 317 7958
    seitp222 c1257cd9004cb69cc12567310024e1db