TUV Rheinland and TUV SUD plan merger

  • February 17, 2008
  • News
COLOGNE and MUNICH, GERMANY; NEWTOWN, CT, USA/February 17, 2008 – TÜV Rheinland Holding AG and TÜV SÜD AG plan to merge. The companies are currently reviewing the details of their combination. An internationally powerful technical services group with the core competencies Testing, Inspection, Certification and Training shall be created through the merger of the supporting associations and subsequent consolidation of the two groups by the end of the year. The new company would employ about 25,000 people worldwide and achieve sales of more than EUR 2.2 billion. This was announced by the CEOs of TÜV Rheinland and TÜV SÜD, Prof. Dr.-Ing. habil. Bruno O. Braun and Dr.-Ing. Axel Stepken at two joint press conferences in Düsseldorf and Munich on 13 February 2008. The project is subject to approval by the responsible antitrust authorities and the relevant committees of the associations and the groups.“A strong international company with a strong German brand, providing economic added value to its customers through neutral testing and certification of quality and safety is becoming even stronger internationally,” said Prof. Braun. “The merger gives us significantly greater international capability and reach. We will become even more attractive as an employer for qualified specialists and managers.”The CEO of TÜV SÜD, Dr. Stepken, said, “This merger is about international growth. Through the planned merger we are creating one of the biggest and most efficient groups for testing and certification, both nationally and internationally. Already today, significant shares of the sales of both companies come from outside Germany. Combining our strengths will enable us to faster access and expand international growth markets.”With regard to the employees of the companies, both CEOs stated that the merger will not result in any job losses. In addition to the merger of associations and the groups, it is also planned to set up a joint foundation that is supposed to hold shares in the new group as an inalienable, neutral and independent third party. The purpose of the foundation shall be especially the promotion of the next generation of engineers. It is planned to locate the merged associations and the foundation in Cologne. The headquarters of the merged group shall be located in Munich.The current CEO of TÜV Rheinland, Prof. Braun (65), shall head the Managing Board of the new group. His deputy and designated successor shall be Dr. Stepken (49), the current CEO of TÜV SÜD. The handover is scheduled for 1 January 2010, after which Prof. Braun shall switch to the Supervisory Board and become its Chairman.The merger timetable calls for due diligence and initiation of the reviews by the relevant antitrust authorities to be in place by May 2008, as a basis for the approvals of the relevant committees. After approval by the Boards of Directors and membership meetings of the associations, it is planned to ask the general meetings of the AGs for approval of the merger by the end of June. The merger of the associations is scheduled to follow approval by the antitrust authorities.TÜV SÜDTÜV SÜD AG, Munich, is one of the leading international service groups in the fields of consulting, testing, certifying and training. Consolidated sales in 2007 grew for the fifth successive year to almost EUR 1.3 billion (previous year: EUR 1.2 billion) of which over a quarter resulted from foreign business. The company employs over 13,300 people worldwide. TÜV SÜD is member of the Diversity Charta of the Federal Government. TÜV SÜD. Choose certainty. Add value.TÜV RheinlandTÜV Rheinland Holding AG, Cologne, is a leading international service group. In the 2007 financial year the company again reported record sales of almost EUR 1 billion (previous year: EUR 902 million). For the first time, sales outside Germany reached a share of 40% (previous year: 37%) of total sales. The company currently has 12,500 employees, more than half of them outside Germany. TÜV Rheinland supports the UN Global Compact. TÜV Rheinland. Precisely right.About TÜVRheinland, North American DivisionTÜVRheinland is the world leader in independent testing and assessment services. The $1.2 billion-corporation is comprised of an international network of more than 10,000 employees at over 340 locations in 60 countries and serves most industry sectors and markets worldwide. TÜVRheinland is a member of the Global Compact of the United Nations, a global network of companies and interest groups. Learn More

Did you enjoy this great article?

Check out our free e-newsletters to read more great articles..