Waldenburg, 16 January 2020 - R. STAHL, leading supplier of products and systems for explosion protection, has restructured the leasing contract for the buildings at its largest site in Waldenburg long-term until 2038. This reaffirms the company's commitment to the region and creates planning reliability for future growth.
"Not only the headquarters of the R. STAHL Group are located in Waldenburg, it also is our largest site for production and development. Here, we have all ingredients that we need for profitable growth, including above all skilled workers, infrastrucutre and logistics", said Dr. Mathias Hallmann, CEO of R. STAHL. "Securing the rights of use of the buildings long-term lays the foundation for further investments in this site, for example in the area of digitalization of administrative and production processes. In addition, the restructuring of the leasing contract is beneficial for us also with regard to the persistently low interest rate", Dr. Hallmann continues.
The previous leasing contract that was signed in 2000 with Abraxas Grundstücksverwaltungsgesellschaft mbH & Co. Vermietungs KG had an initial term until 2023 with the option to buy the buildings afterwards. The newly concluded agreement extends the leasing term until 2038, including again a buy option afterwards. The new contractual conditions, which also reflect the current situation at the debt and real estate markets, also have a positive effect on future earnings and balance sheet itmes: Compared to FY2019, the annual leasing expenses will decline by low single-digit million Euros from 2024 onwards.
About R. STAHL - www.r-stahl.com
R. STAHL is the world's leading supplier of electrical and electronic products and systems for explosion protection. These products and systems prevent explosions in hazardous areas and contribute to the safety of people, machines and the environment. The portfolio ranges from products used in switching/distributing, installing, operating/monitoring, lighting and signalling/alarming up to automation. Typical customers are the oil & gas industry, the chemical and pharmaceutical industry and the food industry. In 2018, global sales amounting to about EUR280 million were generated by 1,690 employees. The shares of R. STAHL AG are traded on the Regulated Market/Prime Standard of Deutsche Boerse (ISIN DE000A1PHBB5).
This release contains forward-looking statements based on assumptions and estimates of R. STAHL's management. Although we assume that the expectations of these forward-looking statements are realistic, we cannot guarantee that these expectations will prove to be correct. The assumptions may involve risks and uncertainties that could cause the actual results to differ materially from the forward-looking statements. Factors that may cause such discrepancies include: changes in the macroeconomic and business environment, exchange rate and interest rate fluctuations, the roll-out of competing products, a lack of acceptance of new products or services, and changes in business strategy. R. STAHL does not plan to update these forward-looking statements nor does it accept any obligation to do so.
The contents of this press release are intended to address all genders. For the sake of readability and without any intent to discriminate, only the male form is used.
R. STAHL AG
Dr. Thomas Kornek
Senior Vice President Investor Relations & Corporate Communications
Am Bahnhof 30
74638 Waldenburg (Württ.)
Tel. +49 7942 943-1395
16.01.2020 Dissemination of a Corporate News, transmitted by DGAP - a service of EQS Group AG.
The issuer is solely responsible for the content of this announcement.
The DGAP Distribution Services include Regulatory Announcements, Financial/Corporate News and Press Releases.
Archive at www.dgap.de