Rolls-Royce and Daimler to bid for Tognum, which owns MTUNews // March 10, 2011
Daimler AG and Rolls-Royce Group have announced today that they intend to launch a public tender offer for 100 per cent of the share capital of Tognum AG, which owns marine engine buildr MTU.
The public tender offer is intended to be carried out by a 50:50 joint venture company.
Listed on the Frankfurt Stock Exchange, Tognum is a supplier of engines, propulsion systems and components for marine, energy, defence, and other industrial applications.
"If the offer is successful the proposed joint venture, comprising Tognum and Bergen, the gas and diesel medium-speed engine business from Rolls-Royce, will offer significant advantages to Daimler, Rolls-Royce and Tognum," said Rolls-Royce in a statement.
"The markets in which the joint venture will operate are attractive and fast growing, especially in the developing economies. By combining the strengths and market access of these three world-class companies the joint venture will be able to offer a compelling portfolio of products, services and integrated solutions on a global basis, thus enabling the joint venture to become a world leading engine systems company and creating additional value for shareholders."
The partners intend to maintain the current manufacturing sites and are confident that the growth strategy will secure jobs and lead to further opportunities. This may include investment in new state of the art plant and facilities to enable growth and deliver productivity improvements.