(IN BRIEF) Kapsch TrafficCom AG has successfully divested assets not aligned with its strategic core business, yielding total proceeds of nearly EUR 11 million with full realization of variable purchase price components. The sale includes Kapsch TrafficCom’s stake in Traffic Technology Services, Inc. (TTS), USA, and its subsidiary’s shares in TMT Services and Supplies Proprietary Limited (TMT), South Africa. The sale of TTS before the balance sheet date of March 31, 2024, is expected to positively impact the financial result for the financial year 2023/24 by EUR 4.4 million, while the sale of TMT after the balance sheet date will not affect the past financial year’s results. These divestitures are part of Kapsch TrafficCom’s strategy to optimize its portfolio and strengthen its financial position, as outlined in its Strategy 2027 review. CEO Georg Kapsch expressed gratitude to the employees of both companies and wished them success in their future endeavors.
(PRESS RELEASE) VIENNA, 3-May-2024 — /EuropaWire/ — Kapsch TrafficCom AG has sold assets that are not part of its strategic core business, generating total proceeds of close to EUR 11 million with full realization of variable purchase price components.
Kapsch TrafficCom held 42.4% of the shares in Traffic Technology Services, Inc. (TTS), USA, a provider of technologies for intelligent transportation solutions. The entire stake was sold before the balance sheet date of March 31, 2024, which will have a positive effect of EUR 4.4 million on the financial result for the financial year 2023/24.
In addition, Kapsch TrafficCom indirectly held via its subsidiary KTC-ZA Holding Proprietary Limited, South Africa, 82.9% of the shares in TMT Services and Supplies Proprietary Limited (TMT), South Africa, a provider of road safety law enforcement and automatic fare collection solutions for public transportation. All of the shares in TMT were sold after the balance sheet date of March 31, 2024, thus, the financial result for the past financial year 2023/24 is not affected.
“These sales are part of the measures that, as stated in the half-year report 2023/24, should lead to cash inflows of at least EUR 30 million to further reduce our gearing ratio and are a result of the review of our Strategy 2027. In this review, we came to the conclusion that both assets are not part of the strategic core business. We would like to thank the employees of both companies and wish them every success for the future,” commented Georg Kapsch, CEO of Kapsch TrafficCom AG.
The effects on the key financial figures relating to TTS will be included in the report on the 2023/24 financial year, which will be published on June 19, 2024; the effects relating to TMT will be reported in the quarterly highlights for the first quarter of the 2024/25 financial year, which will be published on August 21, 2024.
Kapsch TrafficCom is a globally renowned provider of transportation solutions for sustainable mobility with successful projects in more than 50 countries. Innovative solutions in the application fields of tolling, tolling services, traffic management and demand management contribute to a healthy world without congestion.
With one-stop-shop solutions, the company covers the entire value chain of customers, from components to design and implementation to the operation of systems.
Kapsch TrafficCom, headquartered in Vienna, has subsidiaries and branches in more than 25 countries and is listed in the Prime Market segment of the Vienna Stock Exchange (ticker symbol: KTCG). In its 2022/23 financial year, about 4,000 employees generated revenues of EUR 553 million.
Carolin Treichl
Executive Vice President Marketing & Communications
Kapsch TrafficCom AG
Am Europlatz 2, 1120 Vienna, Austria
carolin.treichl@kapsch.net
Sandra Bijelic
Head of Corporate Communications
Kapsch TrafficCom AG
Am Europlatz 2, 1120 Vienna, Austria
sandra.bijelic@kapsch.net
Marcus Handl, Valerie Riegler
Investor Relations Officer, Investor Relations Manager
+43 50811 1122
IR.kapschtraffic@kapsch.net
———-
First published in this link of EuropaWIRE.
