“The transaction strongly supports Wärtsilä’s strategy to expand our Ship Power and Service businesses by broadening our global service offering,” Ole Johansson Wärtsilä chief executive said in a statement.
Under the conditional sale and purchase agreement signed between the two companies, TAL will dispose of its entire business and equity interests in its units to Waertsilae. The deal is expected to be completed by June 30 this year.
Waertsilae, listed on the Helsinki Stock Exchange, is a global supplier of complete lifecycle power solutions with focus on the marine and energy markets.
“The board believes that with Waertsilae’s global presence in the marine and industrial markets, the proposed disposal will accelerate the growth of the business, providing greater access to the world market. Waertsilae’s stronger position will realize greater value for the subsidiaries than if the subsidiaries were to remain under TAL,” said a spokesperson from the company.
The disposal will leave TAL with cash – around 60 million euro in net proceeds from the sale — but without any business.
“It is the intention of the board to look for new assets/businesses to be acquired through cash or otherwise, and to maintain value for TAL shareholders,” TAL said.
