Posted to News on 19th Jan 2024, 10:00
Kontron acquires majority stake in Katek to extend IoT leadership
Kontron has agreed to acquire around 60% of the shares in the listed company Katek. Kontron expects the acquisition to significantly strengthen its own portfolio of renewable green' energy solutions and the aerospace segment.
The Katek Group is a leading European electronics company that offers high-quality electronics and products in the fields of solar energy and e-mobility. With more than 3,200 employees, Katek generated estimated revenue of more than 750 million in the 2023 financial year and has locations in Europe, Asia, and North America.
Control electronics for photovoltaic systems and the rapidly growing area of intelligent charging solutions for electric vehicles are an important part of the product range. Along with its subsidiaries, Katek is one of the pioneers in renewable energy technology.
The aim of the acquisition is to expand Kontron's portfolio with smart solutions for renewable energies and other industries. To achieve this, Katek's products are set to be upgraded with Kontron's software expertise and IoT connectivity. This is expected to improve Katek's gross margin by around 5% in the medium term. Based on the Kontron operating system (K-OS), the products will become much more secure, they will have firewall functionality and the capability to connect to complex grids, and can also be maintained remotely.
The aim is to bring Katek solutions into the IoT world as quickly as possible. Additional synergy effects should arise both from the complementary product portfolios and the global market coverage. The merger expands Kontron's Software + Solutions' segment to include the future-oriented GreenTec' division.
Hannes Niederhauser, CEO of Kontron, said: With the acquisition of Katek, we are expanding our presence in the high-growth area of Clean Energy Solutions in a targeted manner and also strengthening the aerospace division at Kontron with the Katek subsidiary NexTek. The clean energy sector holds considerable potential for the future. Upgrading with Kontron software will increase gross margins by around 5% in the medium term, thereby increasing profitability at Katek as well.
The completion of the share purchase agreement is still subject to conditions precedent, in particular the issuance of the necessary antitrust approvals, and is expected by March 2024.
Niederhauser added: The acquisition of Katek is a real gamechanger for Kontron. It takes us into a new dimension in every respect. With approx. 8,000 employees and cumulative estimated revenue of around 1.9 billion, Kontron now has a new size in the market. Added to this is the expertise gained in the promising market of renewable energy.
