Metso is to make a public tender offer to purchase all of the issued and outstanding shares in Tamfelt, a leader in technical textiles.
The Finnish engineering company will offer Tamfelt shareholders three new Metso shares for each 10 Tamfelt shares they hold and €0.35 for Tamfelt stock options.
The Tamfelt board is recommending Metso’s offer. ”The focus of the markets is shifting increasingly outside Europe. We believe that Metso’s global network and strong position also in the emerging markets will further strengthen Tamfelt’s competitiveness also in these areas. The combination is a continuation to our long-term and successful co-operation. As both companies are technology leaders in their respective areas, we believe it will accelerate technological development in the future,” said Tamfelt board chairman Mikael von Frenckell.
Tamfelt develops, manufactures and markets paper and board machine clothing such as forming fabrics, felts and belts as well as wet and dry filtration media for the pulp and paper, mining and chemical industries and energy production.
After the acquisition Tamfelt will continue its operations as a business line in Metso’s Paper and Fiber Technology segment. Metso expects to close the deal in the first quarter of 2010 at the latest.