PLYMOUTH, Mich., May 3 -- Rofin-Sinar Technologies Inc. reported that its Rofin-Sinar Laser GmbH subsidiary has entered into a definitive agreement to acquire from Mannesmann Demag Krauss-Maffei AG (MDKM) a controlling interest in Carl Baasel Lasertechnik GmbH and its worldwide subsidiaries (Baasel Lasertech Group).
The Baasel Lasertech Group, with headquarters near Munich, Germany, produced approximately 800 lasers in 1999. The company's primary products are laser systems for marking; for fine cutting or fine welding; for sheet metal cutting or welding; for laser perforation; and for medical applications. In 1999, Carl Baasel Lasertechnik GmbH and its consolidated subsidiaries had revenues of E59.3 million (audited), while its unconsolidated subsidiaries had revenues of approximately E5 million (unaudited).
The purchase agreement calls for Rofin-Sinar to pay E44.4 million -- $40 million (US) -- in cash for 90.01 percent of the share capital of Carl Baasel Lasertechnik GmbH. In addition, Rofin-Sinar is to arrange refinancing of Baasel Lasertech Group's projected debt of approximately E27 million. Rofin-Sinar also has assumed MDKM's rights and obligations with respect to the purchase of the remaining 9.99-percent interest in Baasel Lasertechnik Group.
The parties noted that the transaction is subject to approval by the supervisory board of MDKM. The acquisition is expected to close later in May; it will be accounted for as a purchase transaction with effect from January 1, 2000.