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Vestas sells off six factories

Price: 1 euro!

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Vestas has decided to sell its casing and machining factories to VTC partners of Germany for the sum of EUR 1 (GBP 0.8p, USD 1.3), according to a company stock exchange announcement.

The six factories concerned are in Norway, Sweden, Germany, China and Denmark.

“We want to be more flexible depending on market conditions and we want to sell off what are not our core needs,” Vestas Communications Director Morten Albæk tells TV2 News.

Albæk says that despite the giveaway price, the deal will develop into a good business for Vestas, which will be able to purchase components at a savings of EUR30 million. An EUR 25 million earn-out clause has also been written into the contract.

“This is a positive move, although the price could have been better. But for me it is more important that Vestas continues to execute the strategy it has laid to create a slimmer Vestas. That is also what can secure earnings going forward,” Sydbank Senior Analyst Jacob Pedersen tells Ritzau Finans.

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