PKC Group Oyj - Company Announcement

PKC EXPANDS ITS CENTRAL EUROPEAN OPERATIONS BY ACQUIRING SEGU COMPANIES

PKC Group Oyj Company Announcement  28 February 2011       10.35 am

PKC EXPANDS ITS CENTRAL EUROPEAN OPERATIONS BY ACQUIRING SEGU COMPANIES

PKC Group has today signed an agreement for the purchase of shares in the Segu
companies. Under the share purchase agreement, PKC Group's subsidiaries shall
purchase all shares in Segu Systemelektrik GmbH (Germany), Segu Polska Sp. z
o.o. (Poland) and TZOV HBM Kabel Corp (Ukraine). 

The Segu companies in Germany, Poland and Ukraine manufacture and develop
wiring harnesses for the automotive and construction equipment sectors. In
2010, the Segu companies generated consolidated net sales of approx. EUR 38
million, EBITDA was EUR 3.8 million and had approx. 1,000 employees at the end
of the year. The debt-free purchase price of the Segu companies is EUR 20
million. 

The closing of the acquisition is subject to fulfilment of customary terms
including Ukrainian competition authority approval. The intention of the
Parties is to close the acquisition by 30 April 2011. The acquisition is
estimated to have a slightly positive impact on PKC Group's operating profit in
2011. "The acquisition is continuance to the acquisition carried out in Poland for
over two year ago. Segu companies and PKC's Polish unit will form a business
unit servicing the West-European markets with annual sales of about hundred
million and about 2,500 employees. In addition to access to interesting new
OEMs, the acquisition of Segu companies will bring a strategically important
footprint in Germany as well as benefit of scale and increased credibility for
PKC. Moreover, Segu companies have excellent technological know-how, which will
benefit PKC's wiring harness business", observes Harri Suutari, President &
CEO. 

The company will publish a separate release regarding the closing of the
transaction. 

PKC GROUP OYJ



Board of Directors



Harri Suutari

President & CEO



For more information, please contact:

Harri Suutari, President & CEO, PKC Group Oyj, tel. +358 (0)400 384 937





DISTRIBUTION

NASDAQ OMX

Main media

www.pkcgroup.com




The PKC Group offers design and contract manufacturing services for wiring
harnesses, cabling and electronics. The Group has production facilities in
Finland, Brazil, China, Mexico, Poland, Estonia and Russia. The Group's net
sales in 2010 totalled EUR 316.1 million. PKC Group Oyj is listed on NASDAQ OMX
Helsinki Ltd.