Austrian AICHELIN Group acquires AFC-Holcroft, the US market leader in heat treatment solutions

Mödling (ptp009/13.07.2016/11:00) * Acquisition of Atmosphere Group, holding company of AFC-Holcroft finalized
* Consolidation in the heat treatment market strengthens AICHELIN Group's global position
* Joint annual turnover amounts to EUR 195 million (2015), generated by 1,100 employees

On July 12, 2016, the Austrian AICHELIN Group acquired US-based Atmosphere Group, holding company of AFC-Holcroft. The two groups are a perfect fit: Both are leading market players with a long-standing history and state-of-the-art technologies and services in the industrial area of heat treatment solutions. AICHELIN Group - with its manufacturing companies AICHELIN, EMA Indutec, SAFED, BOSIO and Noxmat - is a leading provider of high-quality plants and systems. AFC-Holcroft is the US market leader in the production of industrial furnace equipment for ferrous and non-ferrous metals. Other main companies of Atmosphere Group are Atmosphere Heat Treating and Austemper Inc. Until now, Atmosphere Group was privately held. The parties agreed not to disclose details and the price of the transaction.

The acquisition complements the geographic presence of AICHELIN Group and strengthens the Group's overall market position as one of the leading global heat treatment groups. The AICHELIN Group is now the largest provider of Atmosphere furnaces world-wide. With a strong presence in Europe, North America and Asia, the joint annual turnover generated by 1,100 employees amounts to over EUR 195 million (2015). The group operates a network in 32 countries.

"This is a major step in AICHELIN Group's strategy of building a global, dynamic group of companies specializing in heat treatment solutions", says AICHELIN Group's CEO Peter Schobesberger. "With AFC-Holcroft as a member of our Group, we further evolve into a truly global company with strong local roots in the most important markets. We have an excellent, complementary geographical footprint and will further strengthen our leading positions."

Bill Disler, CEO of AFC-Holcroft, adds: "AFC-Holcroft celebrates its 100th anniversary this year. With AICHELIN Group as our new owner, we are sure to combine our long-standing traditions with an innovative future. AFC-Holcroft will benefit from being embedded into a family of strong global companies and brands."

Extended product portfolio and services for customers

AICHELIN Group's business model covers all stages of the lifecycle: From design, engineering, manufacturing and installation at customer sites to comprehensive maintenance and spare part services. By combining the networks of AICHELIN Group and AFC-Holcroft, customers will get the best of two worlds: An enlarged, high quality product portfolio as well as a process innovative, world-wide service network. "Together, we have an ideal position to service our customers in the best possible way. They can benefit from our extended project capabilities and the most reliable technology of three continents. Additionally, we will continue to focus on innovation and exploit all our joint possibilities", says Schobesberger.

As the next step, a process will start to integrate AFC-Holcroft and its sister companies into AICHELIN Group's network in the coming months. AFC-Holcroft's headquarters will remain in Wixom, Michigan. The current top management stays in place and most customers will keep their key account managers.

"We want to play an active role in the consolidation of the heat treatment market. We aim at joint growth and a sustainable profitability, for the benefit of our customers, stakeholders and employees", closes CEO Schobesberger.

About AICHELIN Group
AICHELIN Group - with its manufacturing companies AICHELIN, EMA Indutec, SAFED, BOSIO and Noxmat- is a leading provider of high-quality plants and systems for heat treatment solutions as industrial furnaces, induction hardening plants and industrial gas burner systems. The company's roots go back to 1868. Today, with a turnover of EUR 170 mn and 1,100 employees world-wide, it is among the top 3 heat treatment companies world-wide. AICHELIN Group is owned by Berndorf AG. Headquartered in Mödling, nearby Austria's capital Vienna, AICHELIN Group has a strong presence in Europe. Its subsidiaries operate in France, Germany, Slovenia and Switzerland. The worldwide presence includes subsidiaries and offices in China, India, Russia and the US as well as a sales network in 22 countries.

About Berndorf AG
AICHELIN Group is owned since 1997 by Berndorf AG, the holding company of a group of globally active small and medium-sized industrial enterprises serving niche markets. The Group's core competences are in toolmaking, automotive, heat treatment, belts and belt systems, press plates, pool construction, process engineering, mechatronics and joint venture projects. Berndorf stands for a solid orientation and long-term, stable investments. Know-how, experience, expertise and international networks make the companies in the Berndorf Group global market leaders in key industrial sectors. Berndorf Group subsidiaries and associates currently employ about 2,700 people in over 20 countries around the world.

About Atmosphere Group
Atmosphere Group is the holding company of AFC-Holcroft, the US market leader in the production of industrial furnace equipment for ferrous and non-ferrous metals. Founded in 1916, the company celebrates its 100thanniversary in 2016. Other group companies specialize in continuous austempering and offer commercial heat treating services. 140 employees generate a turnover of USD 40 mn. Atmosphere Group oversees companies AFC-Holcroft, Atmosphere Heat Treating and Austemper Inc. With its headquarters based in Wixom, Michigan, AFC-Holcroft operates its own subsidiaries in China and Switzerland and has a global presence through a partner network in Australia, Brasil, China, India, Mexico, Poland and Spain.

Aussender:	Aichelin Holding GmbH
Ansprechpartner:	Wolfgang Brosche
Tel.:	+43 2236 23646-0
E-Mail:	Wolfgang.Brosche@aichelin.com
Website:	www.aichelin.com