Morgan Advanced Materials has agreed to sell its global Rotary Transfer Systems business to Moog Holding GmbH & Co. KG, whose ultimate parent company is Moog Inc.
The sale values the business at €40m on a cash- and debt-free basis, with consideration payable in cash at completion. Rotary Transfer Systems is principally located on two manufacturing sites at Antweiler, Germany, and Chalon, France.
In the year ended 31 December 2016, the Rotary business generated €4.7m of operating profit on €19.5m of sales. Gross assets at 31 December 2016 were €7.1m.
The divestment was in line with Morgan's strategy to simplify its portfolio and focus on global technology businesses of scale. Proceeds from the sale would be used for re-investment in the core business.