Montana Tech Components heading for growth
Menziken, January 20, 2011. The Swiss industrial group Montana Tech Components AG performed well in the year 2010. All divisions achieved both budgeted sales and earnings targets. The initial planned IPO will currently not be focused. A capital increase is however planned for 2011.
The business year 2010
Montana Tech Components AG (MTC) budgeted for the divisions – Aerospace and Industrial Components, Metal Tech and Varta Micro Power – a moderate sales increase by 5% but a significant increase on earnings in respect of the business year 2010. „Both targets are achieved and partially even exceeded through consequent realisation of the predetermined growth plans of the companies of Montana Tech Components AG. “, announces Michael Tojner, president and delegate of the supervisory board who is satisfied with the performance.
Past events
In 2006 MTC was founded and further expanded by the Austrian Global Equity Partners Group with Michael Tojner as main shareholder based on the examples of other international Industrial groups. Step by Step the current three divisions with their core companies Alu Menziken Extrusion AG, Universal Alloy Corporation (UAC) as well as Universal Alloy Corporation Europe S.R.L., MNI Holding GmbH and VARTA Microbattery GmbH have been strengthened.
An IPO of MTC was initially targeted at the time of the foundation. However, the financial crisis unfortunately stopped the upstream development of the industrial group and in particular the attractiveness on the capital market. Therefore, the originally planned IPO in order to finance the growth strategy currently is not likely because it might not bring the highest possible value for the investors. The divisions of MTC set up their plans for investing activities and growth strategy for a timeline of 3 to 5 years. A successful IPO of MTC or of one of the divisions is possible after the implementation of the long-term plan.
Clear focus, further growth potential
At the time the respective divisions were acquired by MTC they were facing restructuring necessities. Today, proudly, all divisions have a clear focus and much potential for growth.
Montana Aerospace & Industrial Components
After a difficult 2009 follows the recovery of the Swiss company Alu Menziken Extrusion AG in 2010; investing activities are on the agenda. The product and service portfolio of Alu Menziken Extrusion AG and the American UAC has been extended by a low-cost production site in Romania ensuring the Group the executive market share in special profiles for the aerospace industry. In the business unit Industrial Components investments led to the successful come back of the Alu Menziken Group as a competent partner. As a consequence, the production site and the workplaces in Switzerland are going to remain stable.
Montana Varta Micro Power
In addition to the focus on the stable core business, innovative research areas have been defined together with strategic partners. Firstly, a joint venture with Volkswagen is intended to do research and develop modern systems of traction batteries for EV / HEV applications. Furthermore, VARTA Microbattery GmbH joined a R&D company (VARTA Micro Innovation GmbH) in cooperation with Graz University of Technology to develop high-capacity Lithium-Ion batteries. Based on the European quality image of the brand VARTA the company is following an added value strategy.
Montana Metal Tech
Due to the diversified portfolio of product identification and the worldwide presence of production sites Metal Tech was able to further expand its leading position in the past decades. In the year 2010 a new CEO was announced for the divison Metal Tech who certainly is going to continue the growth strategy. Acquisitions of small and medium-sized companies and cooperation with Asian partners will assist the plan of the division.
Outlook 2011
Montana Tech Components AG’s financials are expected to remain at a moderate level. All three divisions are well equipped for the future. „In order to realise the expansion plans but also to refinance the convertible bond issued in 2008 the industrial group requires further liquidity“, says Tojner.
From the current point of view an IPO is not the right answer for the investors. Additionally, refinancing negotiations with diverse bank groups in 2010 did not prove to be successful mainly due to the still present unsecure economic development.
„In 2011 we will propose a capital increase of Montana Tech Components AG to its shareholders in order to realise the growth strategy of the Group effectively“, announces Tojner. An extraordinary General Meeting is planned for February 2011.
Contact:
Montana Tech Components AG
Hauptstrasse 35
CH-5737 Menziken
Tel: +41 62 765 2500
About Montana Tech Components AG
Montana Tech Components AG focuses on selected key technologies in global markets which show a particularly rapid growth and also have a strong growth potential in the medium term. The three divisions of the holding - Aerospace & Industrial Components, Metal Tech and Varta Micro Power - are among the leaders in their respective international markets. It is Montana Tech Components AG’s strategy to consistently develop the three divisions at their respective locations to drive profitable growth.
About Michael Tojner
President and delegate of the supervisory board of Montana Tech Components AG
Michael Tojner has over 20 years experience in business development, investment banking, private equity financing as well as M&A transactions in Austria, Eastern Europe and the U.S. He is the founder and owner of the Global Equity Partners Group in Vienna.
Global Equity Partners manages in the activity area „Growth Capital and High Tech“ € 150 m, in „Industry & mid-size companies“ € 250 m and in the area „Real estate“ € 100 m of capital respectively. Since 1998 77 portfolio companies have been acquired and managed, 8 IPO and 29 trade sales placed. In all these companies >2,500 new work places have been created and investments in the amount of above € 500 m made during the involvement of Global Equity Partners.