United Kingdom, 2005-Aug-25
Siemens announced today that all conditions for the acquisition of the British financial services provider Broadcastle plc have been satisfied. By having received acceptances in respect of Broadcastle Shares representing more than 90 per cent of the issued share capital and following the written approval from the Financial Services Authority (FSA), the offer is unconditional in all respects.
The acquisition of Broadcastle is part of the global growth strategy of Siemens Financial Services. It provides Siemens in the UK with the opportunity to expand its financial services in a number of key niche markets, one of which includes medical equipment.
Siemens Financial Services Ltd. (SFS Ltd.) has a close business relationship with Broadcastle plc, acting as one of the principal syndicatees of the Broadcastle’s medical equipment loan book. It expects to generate economies of scale in funding costs and to generate cross selling opportunities for financial services products.
Commenting on the announcement, David Cust, Chief Executive of Broadcastle plc, said: “I’m delighted that our shareholders have accepted the offer made by Siemens. This means we can now get down to the serious business of uniting the Broadcastle operations with those of Siemens Financial Services Ltd. and quickly move forward to maximize the opportunities for growth.”
Jonathan Andrew, CEO of Siemens Financial Services Ltd, commented: "This move is all about enhancing our potential to grow. In combining our considerable resources we are strengthening our business and positioning ourselves to take advantage of future opportunities, confident that we have the breadth of expertise to grow, while continuing to deliver exceptional customer service."
Siemens will now apply to the FSA for the cancellation of the listing of Broadcastle Shares on the Official List and to the London Stock Exchange (LSE) for the cancellation of the admission to trading of Broadcastle Shares on the LSE. This will take effect 20 business days following the date of the official announcement. In addition, Siemens intends to acquire compulsory any outstanding Broadcastle Shares in accordance with the relevant sections of the Companies Act.
Notes to editors
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About Siemens AG
Siemens (Berlin and Munich) is a global powerhouse in electrical engineering and electronics. The company has roughly 440,000 employees working to develop and manufacture products, design and install complex systems and projects, and tailor a wide range of services for individual requirements. Siemens provides innovative technologies and comprehensive know-how to benefit customers in 190 countries. Founded more than 155 years ago, the company is active in the areas of Information and Communications, Automation and Control, Power, Transportation, Medical, and Lighting.
About Siemens Financial Services
Siemens Financial Services Ltd. (SFS Ltd.) is a leading provider of funding solutions in the UK. With its headquarters in Harrow, Middlesex, the company has 215 employees in the UK. SFS Ltd. offers a wide range of financing products and services to help customers acquire the capital assets needed to develop and grow their businesses. Financial solutions are provided directly to business equipment users or via flexible vendor or point of sale finance programs to equipment suppliers and manufacturers.
SFS Ltd. has expertise in funding business solutions in a wide variety of sectors including; education, information technology, telecommunications, digital imaging technology, vending, healthcare, medical professions, and legal and accountancy professions. SFS Ltd. also provides financial arrangements for large corporate businesses across all sectors in the UK. Facilities are unique to each market and tailored to meet each customer’s individual needs. Financing options cover large through to small assets.
SFS Ltd. is part of the Siemens Financial Services Group based in Munich. With more than 1,600 employees and an international network of financial companies coordinated by Siemens Financial Services, Munich, the Siemens Financial Services Group (SFS) offers a broad range of financial services. This covers everything from sales and investment financing to treasury services, fund management and insurance brokerage. SFS’s key customers are above all internationally active industrial and services companies, as well as public-sector operators.
About Broadcastle plc
Broadcastle plc is quoted on the Main List of The London Stock Exchange classified under ‘Specialty & Other Finance’. It has been on the Main List since 1994 having previously been listed on the ‘USM’ from 1985. Its roots go back to 1976 as a leasing broker specializing in the agricultural market. Broadcastle Bank however is over 50 years old. The current Head Office is in Thame, Oxfordshire and there are currently 55 employees spread across its various business divisions.
The Company is a specialist banking and finance operation focused on providing a varied range of financial products and a quality service to the corporate, health, professional and SME markets. The divisions are involved in providing solutions in: Contract Hire, Invoice Discounting, the Leisure sector and as one of the market leaders in arranging funding to NHS Trusts and other healthcare sectors. The Bank offers personal savings facilities.
This press release contains forward-looking statements and information – that is, statements related to future, not past, events. These statements may be identified by words as “expects”, “anticipates”, “intends”, “plans”, “believes”, “seeks”, “estimates”, “will” or words of similar meaning. Such statements are based on our current expectations and certain assumptions, and are, therefore, subject to certain risks and uncertainties. A variety of factors, many of which are beyond Siemens’ control, affect its operations, performance, business strategy and results and could cause the actual results, performance or achievements of Siemens worldwide to be materially different from any future results, performance or achievements that may be expressed or implied by such forward-looking statements. For us, particular uncertainties arise, among others, from changes in general economic and business conditions, changes in currency exchange rates and interest rates, introduction of competing products or technologies by other companies, lack of acceptance of new products or services by customers targeted by Siemens worldwide, changes in business strategy and various other factors. More detailed information about certain of these factors is contained in Siemens’ filings with the SEC, which are available on the Siemens website, www.siemens.com, and on the SEC’s website, www.sec.gov. Siemens does not intend or assume any obligation to update or revise these forward-looking statements in light of developments which differ from those anticipated.
Mr. Wolfram Trost
Corporate Communications
Further information
Siemens AG
Tel: +49 89 636-34794
Ms. Konstanze Tauber
Siemens Financial Services Group
Tel: +49 89 636-31565
Mobile +49 160 97 20 55 42
Mr. Andy Brown
Siemens Financial Services Ltd
Tel: +44 20 8233 4046
Mobile +44 7721 513777
Mr. David Cust, Chief Executive
Broadcastle plc
Tel: +44 (0) 1844 266 500
Mr. Richard Gordon, Finance Director
Tel: +44 (0) 1844 266 500