Comet is completing divestiture of ebeam systems business in Davenport, Iowa, more quickly than expected, transferring it to a new owner

Media Release

Flamatt, Switzerland – November 13, 2018

Comet is completing divestiture of ebeam systems business in Davenport, Iowa, more quickly than expected, transferring it to a new owner

Focus on the ebeam OEM activities

 

The Comet Group is completing the realignment of its ebeam business (the EBT division), announced in July 2018, sooner than expected by selling the activities of the US site in Davenport. The new company will operate under the name of „PCT Ebeam and Integration, LLC", and be an affiliate of the renowned Tri-City Electric Co. in Davenport. Comet’s ebeam components and modules division, ebeam Technologies (EBT), will thus start the next fiscal year with a new, focused business model, a leaner cost base and lower risks and can concentrate on the ebeam module business.

With the transfer of the systems business to a new owner, Comet completes its refocusing with a solution that is beneficial to all stakeholders. The new owner, headquartered in Davenport, Iowa, USA, sees the ebeam technology as an opportunity for further diversification. The buyer is taking over the operational business, the great majority of the employees, as well as obligations to customers. Comet retains access to key know-how and the unrestricted right to use the divested intellectual property, under a cooperation agreement. The sale enables Comet to complete the exit from the systems business more quickly than originally planned and is also expected to slightly ease the impact on net income in 2018 compared to a closure.

 

For 2019, Comet expects the continuing ebeam modules and components business to generate sales of about CHF 15 million, with a reduced EBITDA loss of approximately CHF 5 million.

Media Relations
Ines Najorka
Corporate Communications
T +41 31 744 99 96

ines.najorka@comet.ch

 

Key dates

November 13, 2018 

Investor Day

March 14, 2019

Publication of full-year results 2018

April 25, 2019

Annual Shareholder Meeting

 


Comet Group
The Comet Group is a globally leading, innovative Swiss technology company focused on the x-ray, radio frequency and ebeam businesses. With premium high-tech components and systems, we enable customers in numerous industries to both enhance the quality of their products and make their manufacturing more efficient and eco-friendly. Our innovative solutions under the Comet, Yxlon and ebeam brands are in demand for applications such as non-destructive testing and security inspection, the coating and treatment of surfaces, and non-contact sterilization.

Based in Flamatt, Switzerland, the Comet Group has a presence in all world markets. We employ more than 1,400 people worldwide, including over 500 in Switzerland. Besides production facilities in China, Denmark, Germany, Switzerland and the USA, we maintain various subsidiaries in the USA, China, Japan and Korea. Comet (COTN) is listed on the SIX Swiss Exchange.