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Heavyweight! Ouruikang Sells Bamag Business To Leader

2025/5/13 11:33:00 0

　　 Recently, Oerlikon Group and Rieter Group reached a final agreement that Oerlikon will sell its Bamag textile machinery business, which produces man-made fibers, to Rieter, which has attracted wide attention in the industry.

　　 Bamag has three famous brands: Oerlikon Barmag, Oerlikon Neumag and Oerlikon Nonwoven. Its main products include filament spinning system, texturing machine, BCF system, staple spinning equipment and non-woven fabric production solutions for chemical fiber manufacturing. In addition, it also provides engineering services covering the entire textile value chain. Bamag's main markets are concentrated in China, India, Turkey and the United States. Its innovative and technologically advanced products are mainly developed and produced in Remshaid and Neuminster in Germany, as well as Suzhou and Wuxi in China. In fiscal year 2024, Bamag's sales reached 734 million Swiss francs.

　　 According to the agreement, the initial equity acquisition price of Bamag business is 713 million Swiss francs, and the enterprise valuation is 850 million Swiss francs. From the 2016 - 2023 cycle, its enterprise value/earnings before interest, tax, depreciation and amortization (EV/EBITDA) valuation is attractive, about 6.5 times. The transaction is expected to be completed in the fourth quarter of 2025, but it still needs to pass the regular regulatory approval.

　　 After completing this transaction, Oerlikon will transform into a global pure business company focusing on surface technology. With its technological advantages in surface engineering, advanced materials, etc., Oerlikon will continue to serve many high-end industries such as automobiles, aerospace, energy, etc., help customers improve efficiency, performance and productivity through innovative technologies, and actively explore new markets and application fields.

　　 Michael Suess, executive chairman of Oerlikon, said that the cooperation with Rieter is a Swiss industrial solution that can optimize the value for all stakeholders, and also an important milestone for Oerlikon to implement a pure business strategy. In the future, Oerlikon will focus on the field of surface technology and advanced materials, and is committed to becoming a global pure business leader in this field.

　　 For Rieter, this acquisition is of great significance. Rieter and Bamag have a long history of innovative leadership in the textile industry and factory engineering expertise. With the growth of economy, population and other factors, as well as the expansion of application scenarios brought about by the improvement of fiber supply quality, it is expected that global fiber consumption still has room for growth. Due to the competition of grain and cotton for land, the functional characteristics and high cost performance of chemical fiber are superimposed, and the vast majority of incremental markets still rely on chemical fiber to meet. After the acquisition of Bamag, on the basis of the existing natural fiber business, Rieter has increased its strong business layout in the chemical fiber field, realizing a high degree of complementarity of business, which enables it to fully focus its strategy and capital allocation on the end market and regions, creating broader space for future development.

　　 Thomas Oetterli, CEO of Rieter, said: "We are very happy to welcome Oerlikon Barmag, Oerlikon Neumag and Oerlikon Nonwoven to join Rieter Group. We believe that this alliance will create a market leader in the textile industry and create greater value for our shareholders, customers and employees. "