23.5.2019 | Austria

S&T AG TAKES OVER KAPSCH CARRIERCOM AND KAPSCH PUBLICTRANSPORTCOM

Vienna, May 23, 2019 – S&T AG (ISIN: AT0000A0E9W5, WKN: A0X9EJ, stock exchange code: SANT) entered today into an agreement with KAPSCH-Group Beteiligungs GmbH, Vienna, Austria, to purchase 100% of the shares of Kapsch CarrierCom AG, with this including its subsidiaries and its operative business area Kapsch PublicTransportCom. The conclusion of the transaction is dependent upon the securing of official authorizations that might be required.

Kapsch CarrierCom AG is one the world’s highly regarded suppliers of communication solutions employed in mission critical networks. The thrusts of its business are the planning, development, assembly and maintenance of GSM-R (global systems for mobile communication on railways) networks and their further development into FRMCS (future railway mobile communication systems). Kapsch CarrierCom also possesses a portfolio of cutting-edge PS-LTE (public safety LTE) products. Its technological focus and its investments in research and development have made the company a driving force in the establishment of the standards to be applied in the future to operations-critical communication. An example of this is the company’s participation in the European research initiative Shift2Rail. Kapsch PublicTransportCom provides solutions for public transportation. The two business areas employ nearly 500 people, and in their last financial year had revenues of some EUR 120 million. Downstream project costs and expenditures for external development caused the areas to continue to record losses. The purchase price – subsequent to taking into consideration liabilities and cash on hand – ranges in the low double digits of millions of euros.

Hannes Niederhauser, the Chairman of the Executive Board of S&T AG, comments on the transaction: “This acquisition represents our achieving a further milestone in the implementation of the objectives that we have set for growth in our Agenda 2023 plan. Kapsch CarrierCom is one of the world’s leading suppliers of communication solutions employed by operators of rail systems. Over the last few years, the company has successfully transformed itself from a provider of customer-specific hardware products into a supplier of hardware-independent software-based solutions. The technologies acquired in the transaction ideally complement the portfolio possessed by the Kontron/S&T Group in the area of ‘IoT Transportation’. The large portion of software comprised in the transaction constitutes our pursuance of our strategy of increasing our value added.”

Georg Kapsch, Chairman of the Executive Board of the Kapsch Group, complements: “The Kapsch Group has resolved to concentrate its strategic focus on two areas in the future: Solutions for toll and traffic management systems leading to ‘intelligent roads’ in inter- and intra-urban settings, with this being handled by Kapsch TrafficCom; and, as well, ICT, IOT and digitalization solutions – Kapsch BusinessCom. This concentration has led us to sell Kapsch CarrierCom and Kapsch PublicTransportCom. We are handing over both companies to another successful Austrian company, which will manage them adeptly. We are convinced that the two companies will fit in nicely with S&T’s operations. We foresee S&T’s leveraging the two companies’ product portfolios and strong positions on markets into the successful further development of both.”

On S&T AG
S&T AG (www.snt.at) heads a technology group that employs some 4,300 persons and that operates in more than 25 countries around the world. S&T AG is listed on the Frankfurt Stock Exchange (ISIN AT0000A0E9W5, WKN A0X9EJ, SANT). S&T forms part of the Exchange's TecDAX® and SDAX® indexes of high techs. S&T is a leading supplier in Central and Eastern Europe of IT systems and of the services and solutions comprised in them. S&T took in 2016 a stake in Kontron AG, one of the leaders on the world's market for embedded computers. This transaction has enhanced S&T’s portfolio of proprietary technologies used in the fields of appliances, cloud security, software and smart energy. This move has made S&T one of the leading suppliers on the international markets for Industry 4.0 and IoT (Internet of Things) technologies.

About the Kapsch Group
Founded in 1892, this family-owned company headquartered in Vienna today is a globally-operating technology group with offices and subsidiaries on all continents. subsidiaries. The Kapsch Group focuses on peoples’ requirements in the fields of communication and mobility. With innovative products and solutions, Kapsch BusinessCom and Kapsch TrafficCom make a significant contribution to the digital transformation and a sustainable future in public and private transportation.