MAN Roland to be Bought Out, Taken Public

By: E&P Staff German press maker MAN Roland Druckmaschinen and Allianz Capital Partners announced today plans for a joint venture to buy MAN Roland Druckmaschinen AG and take it public in a few years.

Neither party will discuss details of the agreement until its completion. Reuters reported that after the announcement, MAN shares rose to a record high in Wednesday trading.

MAN AG, the $15 billion Munich-based engineering and manufacturing conglomerate that owns MAN Roland, signed a letter of intent with the Allianz Group subsidiary responsible for direct investments in the private equity area. MAN will retain a 35% share in an independent MAN Roland.

The move follows what MAN calls a record year and the turnaround of its sheetfed business, which was profitable in 2005. Sheetfed orders for the North American division rose 41%, and the company said it had record sales for web presses.

Yves Rogivue, CEO at MAN Roland Inc., Westmont, Ill., said in a statement that the "new independent structure will allow us to further focus our dedication to the printer in terms of advanced technology and support."

MAN Roland CEO Gerd Finkbeiner said that "continuity in the management, corporate structure and MAN Roland brand names will ensure that the company retains its credibility and reliability. ... This will now be complemented by even greater flexibility and more rigorous decision-making processes."

The announcement stated that "selective acquisitions could be part of the development plan, ... augmenting MAN Roland's sheetfed and web press product lines and expanding its consumables offerings."

Tracing its history from 1845, MAN Roland is the world's second-largest manufacturer of sheetfed and web presses for commercial, publication and packaging printing. It also produces digital printing systems. The company's main sites are in Offenbach, Augsburg, and Plauen. It employs almost 8,800 people and generates more than $2 bilion in annual sales, of which exports account for 83%. In North America, MAN Roland Inc. operates five regional sales and service facilities.