Kontron AG finalised a deal to purchase about 60% stake in listed firm KATEK SE. The transaction, conducted through Kontron Acquisition GmbH, involves buying shares from PRIMEPULSE SE at €15.00 each, totalling 8,587,138 shares. Pending regulatory approvals, the deal is expected to conclude by March 2024, significantly boosting Kontron’s renewable energy and aerospace portfolio.
Katek – spearheading renewable energy tech
Katek Group, a top European electronics firm, excels in solar energy and e-mobility, boasting over 3,200 staff and a 2023 revenue exceeding €750 million. Specialising in photovoltaic system control electronics and e-vehicle smart charging solutions, Katek is a renewable energy technology innovator.
Enhancing portfolio with IoT and software focus
Kontron aims to augment its offerings with Katek’s smart renewable energy and industrial solutions. Leveraging Kontron’s IoT and software capabilities, Katek’s product line is set for an approximate 5% gross margin increase in the mid-term. Enhanced with Kontron’s Operating System, these solutions will feature enhanced security, firewall functions, complex grid connectivity, and remote maintenance. The merger not only expands Kontron’s “Software + Solutions” sector but also introduces the “GreenTec” division.
Hannes Niederhauser, CEO of Kontron AG, commented: “With Katek SE’s acquisition, we’re strategically amplifying our Clean Energy Solutions and strengthening Kontron’s Aerospace division. The clean energy sector presents substantial future potential. Integrating Kontron’s software is expected to elevate Katek’s profitability.”
Planned mandatory offer
Subject to regulatory approvals, the share acquisition completion is anticipated by March 2024. Post-acquisition, Kontron Acquisition GmbH will issue a mandatory offer to Katek SE shareholders under the Securities Acquisition and Takeover Act regulations. The plan includes delisting Katek SE from the Frankfurt Stock Exchange and possibly offering treasury shares as part of the offer. Subsequent to delisting, Katek’s executive team will resign, with Dr Johannes Fues joining Kontron’s board as COO, overseeing GreenTec.
Share buyback programme concludes
Following the takeover announcement, Kontron AG’s board decided to end the 2023 share buyback programme, having acquired 1,783,841 shares since 2nd October 2023.
Revised 2024 and 2025 outlook
This acquisition, the largest in Kontron’s history, marks a pivotal moment in its growth and IoT market position. Pending approvals, Kontron revises its 2024 forecast, expecting over €1.9 billion in consolidated revenue and about €100 million in net profit.
Hannes Niederhauser added: “Acquiring Katek transforms Kontron, expanding our scale and renewable energy market expertise. With an anticipated revenue near €1.9 billion and around 8,000 employees, we’re elevating our market presence. This move also allows us to revise our 2024 business outlook upwards, with significant mid-term net earnings growth expected from the technological enhancement of Katek’s products.”
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