NEWS

Porsche buys Kuka machine tool unit to enhance production

Saturday, Jun 20, 2015

Porsche has bought the machine tool unit of industrial robot maker Kuka (KU2G.DE) to enhance production of sports cars amid a growing use of lightweight materials.

Carmakers like Porsche are increasingly using aluminium, carbon fibre and other lightweight substances to help comply with rigid carbon emission limits for their vehicles in Europe, China and other regions.

The transaction may cost Volkswagen-owned Porsche between 10 million euros ($11.34 million) and 25 million euros, a source familiar with the matter told Reuters. The two companies disclosed no details on the deal.

More than 600 workers at the Kuka division at two plants in Germany and Slovakia will earn Porsche new expertise in producing tools to cut and reshape aluminium and other materials, the Stuttgart-based company said.

"Porsche is taking important steps for the future of sports-car production," Chief Executive Matthias Mueller said.

A spokeswoman for Kuka said the deal could be ratified by Aug. 1, declining to elaborate.

Shares in Kuka extended gains on the news and were trading up 2 percent at 72.95 euros as of 1445 GMT.

 

reuters.com

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