The transaction comprises a plant located in Vrchlabí, Czech Republic, with around 400 employees, where automotive cables, flexible and special cables are manufactured.
Cables to the automotive industry constituted a niche market for nkt cables and was not defined as a core business in the EXCELLENCE 2020 strategy. The divestment comprises the third sale since mid-2016 of non-strategic segments, including all activities in China and cabinets.
nkt cables President and CEO Michael Hedegaard Lyng says:
”The divestment of the Automotive business allows us to focus on cementing and developing our leading position within our two core businesses. First of all, to supply turnkey solutions to the high-voltage on- and offshore industry and thereby realise the full potential of the acquisition of ABB HV Cables and a growing market. Secondly, to deliver low- and medium-voltage cables to the construction industry and utilities, among others.”