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Dematic Group to acquire HK Systems


Dematic has signed an agreement-in-principle to purchase HK Systems, a North American automated material handling and software solutions provider. The transaction is expected to close sometime in the third quarter of 2010.
 
According to Dematic, the merger will result in a stronger and more responsive company providing added value and expanded solution portfolios for customers. The merger will leverage the complementary technical strength of both companies to bring high performance solutions to market.
 
“With the addition of HK Systems and its highly complementary market focus, Dematic will be able to provide customers throughout the world enhanced solutions. We can now leverage our respective expertise and experience in serving the supply chain logistics market not only in North America but globally, to deliver added value to both existing and potential customers”, said Roar Isaksen, president and CEO of Dematic Group.
 
Both companies have long-standing expertise in designing, delivering and supporting comprehensive material flow solutions. The combined product portfolios and solution sets will offer customers a wider range of state-of-the-art material handling systems and services. Also, the combined companies will be able to provide an end-to-end solution footprint for a wider variety of market sectors from manufacturing to distribution.
 
Beyond the comprehensive technology, the acquisition will bring together the global engineering talent, customer focus and project execution expertise of two highly skilled teams.
 
“This merger is a great opportunity for the employees of HK Systems to become part of a worldwide corporation. HK Systems’ logistics capabilities and integration strength will give the joint organisation expanded opportunities to grow in new vertical markets in North America and beyond,” said John Splude, Executive Chairman of HK Systems.
 
The acquisition, which is expected to close in the third quarter of 2010, is subject to customary closing conditions including regulatory approvals from relevant authorities in the United States.

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