Nexans withdraws from the winding wire sector by selling its activities in Canada and in China
Paris, January 31, 2007 - Nexans, the worldwide leader in the cable industry, announces today, the signature with Superior Essex of two agreements for the sale of its winding wires activities in Canada and China, for 32 million Euro (in cash and debt assumption). These agreements concern the plant of Simcoe in Canada and its 80% majority interest in Nexans Tianjin Magnet Wires and Cables company.
Pursuing Nexans’ policy of reduction of its upstream activities launched in 2005, these two agreements follow the sale of Nexans’ European winding wires and enamel businesses.
As of December 31, 2006, these two activities had 154 employees in Canada (Simcoe) and 176 in China (Tianjin). In 2006, they had sales of 69 million Euro at constant copper price.
These sales are subject to the approval of the Chinese and Canadian Authorities and to compliance with the shareholder agreement with the Chinese Partner in Tianjin. The closing is expected to take place in the second quarter 2007.
With energy as the basis of its development, Nexans, the worldwide leader in the cable industry, offers an extensive range of cables and cabling systems. The Group is a global player in the infrastructure, industry and building markets. Nexans addresses a series of market segments from energy, transport and telecom networks to shipbuilding, oil and gas, nuclear, automotive, electronics, aeronautics, handling and automation. With an industrial presence in more than 30 countries and commercial activities worldwide, Nexans employs 21,000 people and had sales in 2006 of 7.5 billion euros. Nexans is listed on the Paris stock exchange, compartment A of the Eurolist of Euronext. More information on www.nexans.com