27 August 2012

SFS Group to Acquire Unisteel, a Singapore-Based Leading Precision Engineering Solutions Provider

Heerbrugg, Switzerland & Singapore – 27 August 2012 (BUSINESS WIRE) - The SFS Group announced today that, through its wholly owned subsidiary, SFS intec, it has entered into a definitive agreement to acquire Unisteel Technology International Limited ("Unisteel") from a holding company owned since 2008 by the management and employees of Unisteel and an affiliate of Kohlberg Kravis Roberts & Co. L.P. (together with its affiliates, "KKR"). 

Established in 1960 and based in Switzerland, SFS intec is a global leader in the development, manufacture and supply of precision formed components, engineered fasteners and mechanical fastening systems to customers across a diverse range of industries including the automotive, construction, aircraft, electronics, and transportation industries. 

Unisteel is an innovation-driven solutions provider and manufacturer of precision components, with multi-disciplinary competencies in precision fasteners, stamped components, machining parts, engineered plastics, optical parts, and surface treatment. With its headquarters based in Singapore and key manufacturing facilities located in China and Malaysia, Unisteel serves a wide range of industries including data storage, mobile applications, and consumer electronics on a global basis. 

The newly combined businesses of the SFS Group and Unisteel will employ more than 7,000 people globally, operate 25 manufacturing facilities across Europe,Asia and North America, and possess an enhanced range of production capabilities. Upon completion of the transaction, Unisteel's current management team will join SFS and retain responsibility for their global electronics business. 

Commenting on the transaction, Heinrich Spoerry, Chairman and CEO of the SFS Group, said: "Led by a highly experienced management team, Unisteel is an industry leader in the hard disk drive and mobile sectors, with longstanding and high quality relationships with leading blue-chip customers. We are extremely excited about this partnership with Unisteel, and we look forward to supporting the continued growth of the Unisteel business as a member of the SFS family." 

"At the time of the investment, KKR saw the opportunity to partner with Unisteel's management team to help strengthen their foundational capabilities in order to make the business more responsive and more diversified, and therefore better positioned for the future," said Ming Lu, Member of KKR and Head of Southeast Asia. "With this transaction, Unisteel now has an excellent platform for further growth as a part of the SFS Group. We wish Unisteel and the combined enterprise continued success." 

The transaction, which is subject to customary closing conditions, is expected to be completed in the third quarter of 2012. 

Founded in 1976 and led by Henry Kravis and George Roberts, KKR is a leading global investment firm with US$61.5 billion in assets under management as of June 30, 2012. With offices around the world, including six across the Asia Pacific region, KKR manages assets through a variety of investment funds and accounts covering multiple asset classes. KKR is publicly traded on the New York Stock Exchange (NYSE: KKR). 

Source: KKR