March 14, 2018 / 6:44 AM / 6 months ago

BRIEF-Beijer Ref buys Australia's Heatcraft in 450 mln SEK deal

March 14 (Reuters) - Beijer Ref AB (Publ):

* BEIJER REF MAKES MAJOR ACQUISITION IN AUSTRALIA

* BEIJER REF SAYS ‍HAS ENTERED INTO AN AGREEMENT TO ACQUIRE BUSINESS OF HEATCRAFT AUSTRALIA PTY LTD

* BEIJER REF SAYS ‍DEAL MEANS THAT BEIJER REF DOUBLES ITS SALES IN ASIA PACIFIC REGION

* SAYS ‍COMPANY EMPLOYS MORE THAN 300 EMPLOYEES AND SALES IN 2017 AMOUNTED TO APPROXIMATELY SEK 1.1 BLN​

* SAYS ‍ACQUIRES HEATCRAFT FROM LENNOX INTERNATIONAL FOR A PURCHASE CONSIDERATION OF SEK 450 MLN EXCLUDING OPERATIONS IN NEW ZEALAND​

* SAYS ‍FOR COMPETITION LAW REASONS, BEIJER REF HAS CHOSEN TO DIVEST NEW ZEALAND OPERATIONS OF HEATCRAFT SIMULTANEOUSLY WITH COMPLETION OF TRANSACTION​

* SAYS ‍PARTIES HAVE REACHED A BINDING AGREEMENT AS OF TODAY AND COMPLETION IS SCHEDULED FOR APRIL 2018​

* SAYS ‍TRANSACTION IS CONDITIONAL ON A PRE-COMPLETION RESTRUCTURE OF HEATCRAFT

* SAYS ‍ACQUISITION IS EXPECTED TO HAVE POSITIVE EFFECTS ON BOTH SALES AND EARNINGS IN LONG TERM​

* SAYS WAS ADVISED BY OAKTOWER PARTNERSHIP, ASHURST AND DELOITTE

* FOR BEIJER REFS REGION ASIA PACIFIC, TOTAL ANNUAL SALES WILL AMOUNT TO OVER SEK 2.2 BILLION YEARLY AFTER COMPLETION, WHICH REPRESENTS 19 PERCENT OF BEIJER REF’S GLOBAL SALES, COMPARED WITH 10 PERCENT TODAY​​​ Source text for Eikon: Further company coverage: (Stockholm Newsroom)

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