Wärtsilä and Transmashholding have agreed that Wärtsilä will sell its 50 per cent share in the joint venture Wärtsilä TMH Diesel Engine Company LLC to Transmashholding, the other joint venture party. The divestment of the joint venture will enable Wärtsilä to concentrate on its core areas of expertise, namely complete lifecycle power solutions for the marine and energy markets. The transaction has received the relevant regulatory approvals, and it is expected to be closed by the end of June 2014. The value of the agreement is approximately EUR 12 million.
Wärtsilä and Transmashholding signed a joint venture agreement in May 2010 to manufacture modern and multipurpose diesel engines in Russia. The engines were to be used in shunter locomotives and in various marine and power applications. According to the agreement, Wärtsilä and TMH would set up a 50/50 holding company to establish and operate a new engine factory in Penza, Russia for assembling and testing engines, and for the production of certain larger engine components. Construction of the new engine production facilities began in 2012.
Wärtsilä continues to see growth opportunities in Russia in the marine and power plant markets. Following the transaction Wärtsilä will serve the region through its existing manufacturing locations.
For further information please contact:
Atte Palomäki
Executive Vice President, Communications & Branding
Wärtsilä Corporation
Tel. +358 10 709 5599
atte.palomaki@wartsila.com
Esa Kivineva
Vice President, Product Company Joint Ventures
Wärtsilä Corporation
Tel. + 358 10 709 5555
esa.kivineva@wartsila.com
For investor information, please contact:
Natalia Valtasaari
Director, Investor Relations
Wärtsilä Corporation
Tel: +358 40 187 7809
natalia.valtasaari@wartsila.com
Wärtsilä in brief
Wärtsilä is a global leader in complete lifecycle power solutions for the marine and energy markets. By emphasising technological innovation and total efficiency, Wärtsilä maximizes the environmental and economic performance of the vessels and power plants of its customers. In 2013, Wärtsilä's net sales totalled EUR 4.7 billion with approximately 18,700 employees. The company has operations in more than 200 locations in nearly 70 countries around the world. Wärtsilä is listed on the NASDAQ OMX Helsinki, Finland.
www.wartsila.com
