Leoni wants to concentrate strategically on consolidating its position as a wiring system supplier for the automotive industry. Against this background, Leoni had already separated from two units of the WCS division (Leoni Schweiz AG and the data communication and compound areas of Leoni Kerpen GmbH) in the past few months.

BizLink is an international provider of high-quality solutions for cable connections and connectivity services. The takeover of Leoni Industrial Solutions by BizLink will expand the company's market presence, particularly in Europe, and offer a clear perspective for future development and growth. Sales encompass around 20 international locations of the Leoni Business Group Industrial Solutions in ten countries with around 3,000 employees. The activities of these locations include the areas of healthcare, robotics and automation.

The activities sold achieved a sales volume of around EUR 430 million in the 2020 financial year and are valued at an enterprise value of around EUR 450 million. The expected inflow of funds after deducting financial liabilities and pension costs, among other things, is over EUR 300 million and is to be used to strengthen liquidity. The transaction will thus help to significantly improve Leoni's financial stability. When the sale is completed, a profit of around EUR 200 million is expected, which will be shown in the Group's reported EBIT.

The completion of the sale still requires the approval of the Leoni financing banks and is subject to the customary closing conditions, including merger control and investment review, and is expected at the beginning of 2022.