TAIPEI, Taiwan & EISLINGEN, Germany--(BUSINESS WIRE)--The international Fair Friend Group ("FFG") and MAG Group today announced that the acquisition of MAG Group by FFG has been completed, having received all required regulatory approvals.
Taiwan based FFG is a world leading industrial conglomerate operating in the fields of Machine Tool Technology, PCB (Printed Circuit Board), Industrial Equipment and Green Technology. With the acquisition of MAG Group, a leading machine tool manufacturer for the automotive industry, FFG's machine tool division strengthens its position as one of the premier global machine tool suppliers. The acquisition is complementary to the existing portfolio, and will broaden FFG's machine tool offering in the automotive industry.
FFG's machine tool division covers a large variety of industries, including Aerospace, Railway, Mould and Die, Electronics, and Automotive. With MAG's seven production facilities, FFG increases the number of machine tool factories to 51 across the globe, now covering Taiwan, Germany, Italy, Hungary, Japan, South Korea, China, Switzerland, India and the USA with a total of 32 brands. With over 6000 employees, the machine tool division of FFG, including the MAG Group, generates an annual turnover of more than USD 2.3 billion.
Dr. Reiner Beutel, CEO of MAG, said: 'We are proud to become part of FFG group, one of the world's leading machine tool groups. MAG will benefit from the global footprint and financial strength of FFG, while our customers will benefit from the sharing of know-how and technology between our companies, increased production capabilities as well as local service wherever they are. With our combined offering both groups will increase their attractiveness as business partners."
Jimmy Chu, Founder and Chairman of the Fair Friend Group, said: "I am happy to welcome MAG and its employees to our large family. I am confident that the integration of MAG into FFG will be beneficial for all of us, and for our customers and suppliers."
Luigi Maniglio, chairman of FFG Europe, who will also join the MAG management board, added: "This acquisition is an ideal and complementary strategic fit for both FFG's machine tool division and MAG. FFG will strengthen its machine tool offering in the automotive industry and its footprint in Europe, while MAG Group will increase its access especially to Asian markets. Now that the transaction has been completed, we can start to implement the benefits of the combined businesses which will position itself among the top 3 machine tool makers in the world." Under the ownership of FFG, the MAG brand will remain unchanged. Maniglio added: "MAG is a well-known and established brand for machine tools for the automotive industry, with market-leading technology, loyal customers and excellent employees. We are glad to add this strong brand to our portfolio and, together with the MAG team, develop it further under the FFG umbrella."
The parties agreed confidentiality on financial details of the transaction. FFG has been advised by KPMG (Corporate Finance) and Beiten Burkhardt (Legal) in course of the transaction. MAG has been advised by Freitag & Co (Corporate Finance) and P+P Pöllath + Partners (Legal).
MAG is one of the world's largest and technologically most advanced providers of turnkey production plants and machines for the mechanical processing of engine and chassis components for the automotive industry. MAG has approx. 1,500 employees with manufacturing, sales and service locations in Germany, USA, China, India, Hungary and the UK. MAG expects revenues of approx. EUR 500 million for fiscal year 2015. MAG offers machine tools, manufacturing systems, and services including turning, milling, honing, systems integration, automation & software, services, retrofit, core components, and e-learning. As full scale supplier, MAG manufacturing solutions include a comprehensive range of equipment and technologies, process capability and full turnkey systems. With an in-depth knowledge of applications and manufacturing requirements, MAG partners with its customers to continuously reduce their production costs. www.mag-ias.com
About Fair Friend Group
The Taiwan based Fair Friend Group is a world leading industrial conglomerate, generating an annual turnover of USD 3.8 billion (including MAG Group) with over 80 companies operating in the fields of Machine Tool Technology, PCB, Industrial Equipment and Green Technology. Founded in 1979 in Taiwan, FFG developed into the largest local machine tool manufacturer with major brands like Feeler and Leadwell. From 1989, the growth strategy included international acquisitions in the USA, Italy, Germany, Japan, South Korea, and Switzerland. The acquisitions included leading manufacturing technology companies like VDF Boehringer, Hessapp, Honsberg, Hüller Hille, Ikegai, Jobs, MAG Group, Modul, Pfiffner, Rambaudi, Sachman, Sigma, Witzig & Frank.