Nuremberg / Monticelli d’Ongina, 16 May 2007 – Subject to the cartel authorities’ approval, the wire, cable and wiring systems specialist Leoni will on 2 July of this year acquire 80 percent of the shares in Silitherm, a special cables manufacturer based in northern Italy. The company, which is located in Monticelli d’Ongina near Milan, employs about 50 staff and is one of Europe’s leading suppliers of silicone cables, which are used, among other industries, in motor vehicles and electrical appliances as well as in petrochemical plants. Silitherm is forecast to generate sales of more than EUR 30 million in the 2007 financial year. The parties agreed not to disclose the purchase price.

Extended involvement in markets of the future

By acquiring the Italian special cables manufacturer, Leoni is consistently maintaining its strategy of strengthening its business in profitable, technologically sophisticated niche markets. Silitherm will enhance the existing range of products and services with its comprehensive know-how in silicone compounding and processing. Silicone-insulated cables are used for their durability at high temperatures as occur, for example, in vehicle engine compartments and in industrial plants (up to 1,000°C).
Belonging to the Leoni Group will provide Silitherm with fresh opportunities, based particularly on the Group’s global production combine and its global distribution network. Not least, this will also strengthen the facility in Monticelli d’Ongina on a sustained basis.

The Leoni Group – successful in a variety of markets

Leoni is a global supplier of wires, cables and wiring systems as well as a provider of related development services. With more than 35,000 employees and about 100 subsidiaries, the MDAX-listed Company generated consolidated sales of EUR 2.1 billion in the 2006 financial year. The principal customer base is the automotive industry, for which Leoni develops and makes technically sophisticated products: from single-core automotive cables through to complete wiring systems with integrated electronics. In addition, Leoni’s product range comprises wires and strands, standardised cables for the electrical appliance and automotive industries as well as special cables and fully assembled systems for applications in a wide variety of different industrial markets.