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SGL Carbon SE to become the sole owner of SGL ACF

29 Nov '17

3 min read

SGL Carbon SE has decided to acquire BMW Group's 49 per cent equity investment in the joint ventures SGL Automotive Carbon Fibers (Germany) and SGL Automotive Carbon Fibers (US) – together referred to as ' SGL ACF'. An agreement in this connection has been signed by SGL Group and BMW Group. With the deal, SGL Group becomes the sole owner of SGL ACF.

The transaction is subject to approval from the respective authorities.

"We are proud of the pioneering work that we have carried out with BMW Group on lightweight construction for the automotive sector. The carbon fibres made at our plant in Moses Lake and the fabrics that are produced from them at the Wackersdorf site have proven very successful. It is now time to fully integrate this expertise into SGL Group's value chain," says Jürgen Köhler, chief executive officer of SGL Group.

Carbon fibres and carbon fibre materials are at the core of SGL Group's corporate strategy. By acquiring SGL ACF now, SGL Group is forging ahead with its strategy to consolidate all key activities in the value chain – from carbon fibres and materials to components – within the SGL Group, giving it overall responsibility. BENTELER-SGL is being acquired for the same reason.

The changes in the shareholder structure of SGL ACF will not have any direct impact on its workforce, which currently totals around 450 employees.

“BMW Group will continue to rely on lightweight construction and an intelligent mix of materials, with carbon remaining a significant component,” explains Markus Duesmann, member of the board of management at BMW AG with responsibility for purchasing and supplier network. Carbon will also play an important role in the BMW iNEXT, which will set the benchmark for electric vehicles, autonomous driving, connectivity, and lightweight construction from 2021. “SGL Group is and will remain a major supplier and strategic partner in this regard,” adds Duesmann.

BMW Group has entered into an agreement with SGL Group to continue to work together on future projects involving the use of carbon.

The existing supply agreements for the continued procurement of carbon products from SGL ACF for the BMW i3, the BMW i8, and the BMW 7 series into the next decade are unaffected by the transaction. Likewise, BMW Group's CFRP-stacks production unit in Wackersdorf will not be affected. Furthermore, the transaction will not impact BMW AG's 18.3 per cent shareholding in SGL Carbon SE. This equity investment is not up for disposal.

The agreement between SGL Group and BMW Group provides for the acquisition of the two SGL ACF companies in stages. In the first step, SGL Automotive Carbon Fibers (Germany) will be transferred to SGL Group. This transaction will probably be completed in January 2018. The second step will involve SGL Automotive Carbon Fibers (US) being transferred to SGL Group, with this transaction expected to be completed by the end of 2020 at the latest. (SV)

Fibre2Fashion News Desk – India