Ossur sells subsidiary Mauch, Inc.
Ossur hf has signed an asset purchase agreement with DRT Mfg. Co. regarding the sale of assets of Ossur's American subsidiary Mauch, Inc., based in Dayton, Ohio. The agreement covers the sale of Mauch's spinal implant component business and specialist manufacturing equipment.
Over recent years Ossur has been segregating the manufacture of prosthetic components from Mauch's other activities in Dayton. The latter are not considered to be part of Ossur's core activities. The remaining prosthetic lines produced at Mauch will be transferred to alternative Ossur production units.
Ossur CEO Jon Sigurdsson said: "Ossur has decided to withdraw from its Dayton operation, consolidating its prosthetic manufacture elsewhere. I am pleased to announce, however, that we have been able to ensure continued employment for our staff with a good company."
DRT President & CEO Gary Van Gundy said: "DRT Mfg. Co. has a long history in Dayton, and elsewhere, as a manufacturing establishment. Our intention is to gain a foothold in the implant component field."
DRT will take over equipment, lease agreements and staffing responsibilities as of 1 January 2005. For the time being, it will continue to manufacture components for Ossur for use in prosthetic knees.
Mauch sales were 1.7% of the total sales of Ossur in the first three quarters of 2004. The book value of the assets and the purchase price is approximately USD 1.6million. Ossur's sale of Mauch, Inc. will not have any effect on margins or Profit and Loss Statement of the company.
For further information contact:
Árni Alvar Arason
Vice President of Sales and Marketing
Tel: +354 515 13XX