EANS-News: Balda AG / Balda forcefully extends its presence in the USA through acquisition of HK Plastics Engineering, Inc.

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Subtitle: Next step in the buy-and-build strategy for the medical
segment

Mergers - Acquisitions - Takeovers

Bad Oeynhausen, December 29, 2012 (euro adhoc) - Balda, a producer of
high-quality plastic products for the medical and electronics
industries, has agreed the purchase of 100 percent of the shares of
HK Plastics Engineering, Inc., Oceanside, California, effective as of
December 31, 2012. Through this acquisition, the group forcefully
extends its presence in the strategically-important US market.
Recently, Balda had announced the acquisition of California-based
plastics producer C. Brewer Company, Anaheim, also effective as of
December 31, 2012. The two acquisitions particularly strengthen
Balda's medical business, in line with the buy-and-build strategy
laid out for this business segment.

About HK Plastics Engineering, Inc. HK Plastics Engineering, Inc. is
a full-service supplier of injection-molded plastics and the
associated molds. Its services range from design and development to
tool manufacturing and the molding process up to mechanical
installations. The second-generation family company, which was
founded in 1974, specializes in supplying highly-regarded customers
in the field of medical technology, and is therefore able to fulfill
the most stringent requirements in both its products and services. HK
Plastics Engineering, Inc. operates a production facility at its
headquarters in Oceanside and employs around 80 people. The company
expects revenues of around USD 15 million (approx. EUR 11.5 million)
and positive operating earnings (EBITDA) for the calendar year 2012.
More than 80 percent of its revenues come from medical customers.

Further details about the transaction The purchase price amounts to a
higher single-digit range (EUR million). It will fully be financed
with the existing liquidity of the Balda Group. The sellers are the
families of the founders. The purchase price is based on a multiple
of less than 7 times the expected adjusted EBITDA in 2012.

M&A International Inc. with its partner firms Angermann M&A
International GmbH and Masi Ltd. acted as M&A advisor for Balda in
this transaction.

Dominik Müser, CEO of Balda AG: "HK Plastics Engineering is mainly
focused on the diagnostics markets and therefore it matches perfectly
the medical business of our acquisition C. Brewer Co. that has a
clear focus on medical devices. With the purchase of the two
injection-molded plastics specialists Balda has now a strong
footprint in the important US market."

About Balda Balda is a producer of high-quality plastics solutions
for the medical technology and electronics markets. The company
provides superior engineering services, products of the highest
quality as well as a fast, flexible and tailored service for its
customers. The Balda Medical segment in Bad Oeynhausen develops and
produces high-quality plastics solutions for the medical technology,
pharmaceutical and diagnostics markets. The Balda Group generated
revenues of EUR 24.7 million in the short financial year 2012 (1
January to 30 June 2012) compared to EUR 66.3 million in calendar
year 2011. The Balda share (ISIN: DE0005215107) is listed on the SDAX
segment of Deutsche Börse. www.balda.de; www.balda-medical.de

Further inquiry note:
Frank Elsner
Frank Elsner Kommunikation für Unternehmen GmbH
Tel.: +49 - 54 04 - 91 92 0
Fax: +49 - 54 04 - 91 92 29
Mail:{office@elsner-kommunikation.de}[HYPERLINK:
mailto:office@elsner-kommunikation.de]

end of announcement euro adhoc
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company: Balda AG
Bergkirchener Str. 228
D-32549 Bad Oeynhausen
phone: +49 (0) 5734 9 22-0
FAX: +49 (0) 5734 922-2747
mail: info@balda.de
WWW: http://www.balda.de
sector: Semiconductors & active components
ISIN: DE0005215107
indexes: CDAX, Prime All Share
stockmarkets: free trade: Berlin, München, Hamburg, Düsseldorf, Stuttgart,
regulated dealing/prime standard: Frankfurt
language: English