EMAlliance acquires Duro Dakovic

Previously Duro Dakovic belonged to the holding “Austrian Energy & Environment” (Austria). The amount of the transaction is approximately 35 million Euro.
Upon acquisition of these assets, EMAlliance increased its production capabilities by more than a quarter and became the biggest European Manufacturer of boiler equipment for thermal power industry.
Duro Dakovic has two major production works which are located in Slavonsky Brod and Luzhany. The production capacities of the Company allow producing up to 15 thousand tons of equipment per year in accordance with European and American standards. The number of regular staff is more than 800 people. As of today, the list of the Company’s customers includes the following companies: Foster Wheeler, Burmeister and Wien Energy, Alstom, Hitachi Power Europe and a number of other power-engineering companies of Western and Eastern Europe. The current use of production capacities of the Company reaches 80%.
In accordance with financial reporting data for 2010, the proceeds of Duro Dakovic amounted to 40,2 million Euro, and net profit amounted to 2,4 million Euro. It should be noted that in 2010 financial indicators of the Company decreased by more than twice in comparison with the prior period. This was caused by the common financial problems of AEE, that created the favorable terms of the assets acquisition by EMAllilance, but it does not reflect the actual financial potential of Duro Dakovic as a separate company.
Commenting on the transaction, President of JSC EMAlliance Timur Avdeenko noted that acquisition of large production companies with recognized references in Europe is considered to be the most important stage of development of EMAllilance. Actually, it means a transformation of this Russian Company to an effective and important player on global power-engineering market. “Within the framework of realization of our development strategy, we use any most promising tools for an expansion of our business on the international market. We are open for any types of partnership. On those strategic markets, where the best variant of development for us should be an acquisition of both of production and engineering assets supported by references, we are ready to follow this way”, he stressed.