Siemens Dresser Rand Merger Agreement
In a joint statement announcing the sale, Siemens, which has a market value of nearly $85 billion, announced that it intends to operate Dresser-Rand as a separate oil and gas business from the company. In accordance with the agreement, Dresser-Rand will continue to operate under its existing brand and retain its current management team. “After a thorough and competitive process, we are pleased to have entered into this agreement with Siemens as it maximizes value and delivers significant benefits to all Dresser-Rand stakeholders,” said Vincent R. Volpe Jr., President and Chief Executive Officer of Dresser-Rand. “Dresser-Rand shareholders will receive an immediate and secure cash payment for their shares at an attractive markup on the company`s share price without influence.” Siemens is believed to have been interested in acquiring Dresser-Rand for a few years. Joe Kaeser, the company`s president and CEO, prioritized Siemens` image in the slate space. While Siemens is convinced that the company has not done enough to take advantage of the US shale gas boom, measures are underway. In May, Kaeser deployed Lisa Davis of Royal Dutch Shell to manage the company`s energy business. “As a premium brand in the global energy infrastructure markets, Dresser-Rand fits perfectly into Siemens` portfolio,” Kaeser said in a statement.
“The combined business will create a world-class supplier for the growth of the oil and gas markets. Dresser-Rand thus becomes an “oil and gas” company within Siemens and fits perfectly into our Siemens Vision 2020. This press release may contain forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Forward-looking statements include, but are not limited to, plans, objectives, objectives, strategies, future events, future bookings, revenues or services of the business, investments, financing needs, plans or intentions regarding acquisitions, business trends, executive compensation and other information that is not historical. The words “anticipate,” “believe,” “expect,” “intend,” “appear,” “outlook” and similar expressions characterize such forward-looking statements. Although the Company believes that such statements are based on reasonable assumptions, these forward-looking statements are subject to many factors, risks and uncertainties that may result in actual results and results differing materially from expectations. . . .