Kennametal Acquires Sintec Group

Kennametal has announced today that it has signed a definitive agreement to purchase the Sintec Group, headquartered in Buching, Germany. The purchase of Sintec, which manufactures ceramic engineered components used in the aerospace, general engineering, metallizing and medical markets, complements Kennametal's core knowledge of materials science. The transaction is expected to close by June 30, 2006, and remains subject to customary regulatory approval and negotiated conditions of closing.

The Sintec Group was founded in 1980 and has operations in Schongau and Halblech-Buching, Germany, Biel, Switzerland, Shanghai, China, Newport, UK and in Bridgeport, Connecticut in the United States. The company employs about 200 people across its facilities.

"The acquisition of the Sintec Group is directly in line with our strategy to grow both organically and through acquisitions in the advanced materials and engineered components space," commented James Breisinger, Kennametal Vice President and President of Advanced Components Group. "Kennametal has a core competency in ceramics systems in the metalcutting industry, where we are one of the market leaders. This acquisition will take the company into adjacent technological and geographic markets, allowing us to expand our competency in non-metalcutting ceramics," said Breisinger.

"Sintec serves the European, Asian and North American markets," Breisinger continued. "With Kennametal's global infrastructure, we will be able to leverage Sintec's advanced ceramic technology effectively in support of our plans to grow our business to be one-third North America, one-third Europe, and one-third emerging markets."

http://www.kennametal.com

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