An agreement has been reached in which Haegglunds Drives, one of the world leaders in heavy hydrualic drive systems, will become part of Atle AB, the Swedish industrial group.In a deal worth an estimated £25 million, the company's current owner, Incentive, has decided to sell Haegglunds Drives to a group with a strong industrial and engineering focus.

"We see the change of ownership as a positive one. We recognise that with Atle we have an owner with industrial roots and a long-term perspective of the field," says Anders Lindblad, managing director of Haegglund Drives.
In particular, it will be able to benefit from its new owners extensive experience in heavy industry. A new division that comprises Haegglunds Drives and AB Benzler, is to be created. This will enable both companies to more effectively compete in the different sectors of the transmission markets in which they operate world-wide.
Haegglunds Drives will retain its name and identity and operate as an independant company within Atle's Verkstadsindustri division. This part of the group has around 20 subsidiaries in the industrial sector that account for sales of around £32 million of which 75% is exported.
Today Haegglunds Drives exports 80% of its hydraulic drive systems mainly to Europe, Asia, North America and Asia. With around 500 employees the company has a turnover of more than £64 million.

For more information contact:
Lars Ake Bergstroem, Haegglunds Drives AB,
890 42 Mellansel, Sweden, tel:+46 660 871 96, fax:+46 660 871 60