Alfa Laval divests engineering and validation services for the biopharm industry
Nordic Business Report-December 13, 2006-Alfa Laval divests engineering and validation services for the biopharm industry
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Swedish heat transfer, centrifugal separation and fluid handling systems provider Alfa Laval said on Wednesday (13 December) that it is divesting its engineering and validation services for the biopharm industry.
The company is divesting this activity through a purchase agreement with the management of the operations.
The primary reason for divesting the engineering activity for the biopharm industry, which comprises the offering of engineering and validation services, is the limited connection to Alfa Lavals core business of process solutions and heat transfer, separation and fluid handling products.
The divestment is not anticipated to have any negative impact on Alfa Lavals Life Science activity.
The turnover of the divested activity is slightly more than SEK100m and it employs approximately 110 people.
The divestment will result in a non-recurring charge of SEK120m to the profit and loss statement in the fourth quarter of 2006, of which SEK40m is direct costs connected with the divestment.
Alfa Laval, headquartered in Lund in Sweden, has some 10,000 employees and annual sales of SEK16.5bn. The company has customers in nearly 100 countries. Alfa Laval is listed on the Nordic Exchange in Stockholm.
One British pound (GBP) is worth approximately 13.49 Swedish kronor (SEK).
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