euro adhoc: Hans Einhell AG / Mergers - Acquisitions - Takeovers / Einhell Group sells weka Holzbau GmbH to BPE Private Equity (E)

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Disclosure announcement transmitted by euro adhoc. The issuer is responsible
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20.12.2006

"Ad-hoc announcement according to § 15 WpHG"

The Einhell Group plans to sell its shares of weka Holzbau GmbH in D -17034
Neubrandenburg to a fund of BPE2 Private Equity GmbH & Co. KG, administered by
BPE Private Equity GmbH, Hamburg upon approval of the supervisory board.

weka Holzbau GmbH developed to a leading company in the German market for
prefabricated kits made of wood for housing & gardening. The company provides
entire concepts. It benefits from the trend "wood in the garden" and from the
ongoing boom of the wellness branch.
Einhell is sure that the sucessful business of weka Holzbau GmbH will be even
more strengthened by the new partnership at long sight.

The transaction will be finished until the year's end depending on the receipt
of payment of the purchase price.
The group will receive cash of about 10 million Euro from this disposal. The
final purchase price can first be determined exactly after the approval of the
annual accounts of weka Holzbau GmbH.

This decision is taken in order to enforce the targeted group strategy of
orientation towards the product groups power tools and garden equipment. The
company wants to raise futher the core competence in these groups and to
concentrate on the customer group of do-it-yourselfer, home constructors and
hobby gardener. The aim is the expanding of the listing business at
international DIY chains.
Also investments in the development department and the extension of the
international service network can be increased. Additionally the expansion in
Eastern Europe, Asia and Latin America should be forced increasingly.

By the disposal of weka Holzbau GmbH the capital commitment will be reduced
significantly and the liquidity of the Einhell group will be increased further.
So an improvement of rating key figures can be reached.

From the actual point of view the Einhell group looks forward to realise sales
of about 400 million Euro for the year 2007 (excluding weka Holzbau GmbH). This
consolidation of the group structure should lead to a further stabilization of
the profit margin.

Landau/Isar, 20th December 2006

The board of directors

Further inquiry note:
Helmut Angermeier
Prokurist
Telefon: +49 (0)9951-942 166
Fax: +49 (0)9951-942 293
E-Mail: [email protected]

end of announcement euro adhoc 20.12.2006 21:30:51
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emitter: Hans Einhell AG
Wiesenweg 22
D-94405 Landau/Isar
phone: +49 (0)9951 942 166
FAX: +49 (0)9951 942 293
mail: [email protected]
WWW: http://www.einhell.com
ISIN: DE0005654933, DE0005654909
indexes: CDAX
stockmarkets: free trade: Börse Berlin-Bremen, Hamburger Wertpapierbörse,
Baden-Württembergische Wertpapierbörse, Börse Düsseldorf,
Bayerische Börse, regulated dealing/general standard: Frankfurter
Wertpapierbörse
sector: Wholesale
language: English

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