Lemminkäinen divests Lemcon Networks' Asian business
LEMMINKÄINEN CORPORATION INVESTOR NEWS 30 JANUARY 2013 AT 2 P.M.
LEMMINKÄINEN DIVESTS LEMCON NETWORKS' ASIAN BUSINESS
Lemminkäinen and United Telecom International, a Taiwanese developer for repair technology of telecom networks, have signed a share purchase agreement for all outstanding shares in Lemcon's subsidiaries engaged in mobile telecom network projects business in Asia. After the transaction all telecom network operations of Lemminkäinen in Asia will be taken over by United Telecom International. The parties have agreed not to disclose the transaction price. The transaction will be completed after local authority approvals have been obtained.
The divested subsidiaries have been part of Lemcon Networks, which is 100% owned by Lemminkäinen Group. Lemcon Networks provides professional project management and implementation services for mobile telecom network projects around the world. The divested business engages approximately 35 employees.
Lemminkäinen specified its strategy in 2011 and stated that it will be focusing on its key strategic growth areas, which are the Nordic infrastructure construction as well as residential construction in the St. Petersburg area in Russia. "Lemcon Networks' Asian business has good opportunity to develop under the new owner who is already familiar with the company and its services", says Henrik Eklund, Executive Vice President, International Operations, at Lemminkäinen.
United Telecom International was founded in 2010 and is headquartered in Taipei City, Taiwan. In addition, it has established operations in the Philippines, Malaysia and Indonesia. The company provides repair development support to partner companies providing in-country repair solutions to mobile network operators.
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Lemminkäinen Group operates in all areas of the construction sector. The Group's operations are organised into four business segments: building construction, infrastructure construction, technical building services and international operations. Net sales in 2011 were about EUR 2.2 billion, of which international operations accounted for roughly a third. The Group employs 8,000 people on average. Lemminkäinen Corporatio's share is quoted on NASDAQ OMX Nordic Exchange Helsinki. www.lemminkainen.com