Press Release
Continental Intends to Strengthen Industrial
Business via Significant Acquisition
 Agreement reached with The Carlyle Group on the purchase of Veyance Technologies
 Opening up of new markets / Improvement of global reach
 ContiTech sales around 5.4 billion Euro in future
Hanover/Fairlawn, USA, 10 February 2014. Continental will expand its global industrial business
via a significant acquisition: The international automotive supplier, tire manufacturer and industrial
partner headquartered in Hanover, Germany, announced today that it has concluded an
agreement with The Carlyle Group, Washington D.C., USA, relating to the purchase of Veyance
Technologies Inc, Fairlawn, Ohio, USA, for approximately 1.4 billion Euro. Veyance operates
globally in the field of rubber and plastics technology and in 2013 recorded sales of approximately
1.5 billion Euro, around 90 percent of which were achieved outside the automotive industry.
Veyance has 27 plants around the world and a workforce of about 9,000 employees at the end of
2013. The acquisition is subject to the approval of the responsible anti-trust authorities.
“Veyance’s business and geographic presence complements Continental’s existing global footprint,
and the planned integration of Veyance into our ContiTech division will expand our position in
rubber and plastics technologies on a worldwide basis. Furthermore this acquisition will enable
Continental to come a step closer to its strategic goal of increasing further our proportion of sales
to industrial customers and private end users. ContiTech itself will achieve some 60 percent of its
sales outside the automotive OE sector in future,” said Dr. Elmar Degenhart, Chairman of
Continental’s Executive Board in Hanover. “Veyance will make an immediate positive contribution
to the corporation’s profitability once the transaction has been concluded. The acquisition can be
financed from cash and available credit lines.”
1/3
Your contact:
Mario Töpfer, Phone: +49 511 938-1304
-2“Veyance Technologies will complement our ContiTech division in key markets where our
presence is limited, particularly in the US and South America. Plants in Mexico, Canada, China,
Australia and also South Africa will provide additional opportunities,” explained Heinz-Gerhard
Wente, Member of the Executive Board of Continental AG and CEO of the ContiTech division.
“Veyance and ContiTech complement each other geographically, and ContiTech’s Conveyor Belt
Group and Fluid Technology business units in particular will benefit from an enhanced global
presence. The Power Transmission Group and Air Spring Systems also will achieve positive
results from the merger.”
“We are proud of what the Veyance management team has accomplished and believe the
combination of Veyance and Continental will even more effectively meet customers’ needs
globally,” added Martin Sumner, Managing Director of The Carlyle Group. In 2013 ContiTech’s and
Veyance’s merged pro forma sales will add-up to approximately 5.4 billion Euro, and they employ
about 39,000 people worldwide. Veyance Technologies achieves about half of its sales in the US.
Other important markets are Latin America, Africa, China and further Asian countries. The product
focus is on conveyor belts, hoses, power transmission belts and air springs.
“ContiTech and Veyance are a great fit for each other,” says John S. Hamilton, Chief Executive
Officer of Veyance Technologies Inc. “In addition to the complementary geographic and product
mix, we bring an organization and culture which delivers on our commitments to customers,
employees, and our communities. We look forward to becoming valuable members of the
ContiTech team to continue building upon our shared culture of innovation and providing value to
customers.”
2/3
Your contact:
Mario Töpfer, Phone: +49 511 938-1304
-3With provisional sales of around €33.3 billion in 2013, Continental is among the leading automotive suppliers
worldwide. As a supplier of brake systems, systems and components for powertrains and chassis,
instrumentation, infotainment solutions, vehicle electronics, tires and technical elastomers, Continental
contributes to enhanced driving safety and global climate protection. Continental is also an expert partner in
networked automobile communication. Continental currently has more than 177,000 employees in 46
countries.
The ContiTech division numbers among the leading suppliers of a host of technical rubber products and is a
specialist for plastics technology. The division develops and produces functional parts, components and
systems for the automotive industry and other important industries. ContiTech currently has a workforce of
approximately 29,700 employees. In 2013 it recorded provisional sales of about €3.9 billion.
Contact for Journalists
Hannes Boekhoff
Vice President Media Relations
Continental AG
Vahrenwalder Str. 9
30165 Hanover, Germany
Tel.: +49 511 938-1278
Fax: +49 511 938-1016
E-mail: hannes.boekhoff@conti.de
Mario Töpfer
Head of Technical Media Relations
ContiTech AG
Vahrenwalder Str. 9
30165 Hanover, Germany
Tel.: +49 511 938-1304
Fax: +49 511 938-1305
E-mail: mario.toepfer@contitech.de
Kathryn Blackwell
Vice President, Communications and
Marketing, North America
Continental
One Continental Drive
Auburn Hills, MI 48326, USA
Phone: +1 248-393-6593
Mobile: +1 248-462-9114
E-mail: kathryn.blackwell@continentalcorporation.com
This press release is available in the following languages: Chinese, Czech, Dutch, English, French, German,
Hungarian, Japanese, Portuguese (Brazil), Portuguese (Portugal), Romanian, Russian, Slovakian, Spanish
Links
Press portal on the internet: www.continental-press.com
Video portal on the internet: http://videoportal.continental-corporation.com
Media database on the internet: http://www.continental-mediacenter.com
Your contact:
Mario Töpfer, Phone: +49 511 938-1304