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Good 1st Half-Year Results for SGL

Market segments energy, digit­isation and industrial applications were the main growth drivers. Both business units Composites – Fibres and Materials as well as Graphite Materials and Systems contributed double-digit growth rates. Recurring EBIT increased significantly to EUR 22,5 million (prior year period: EUR 9,6 million). Return on capital employed (ROCE) based on recurring EBITDA improved to 9,8 % (prior year period: 8,3 %). In August 2017, SGL Group signed an agreement to sell its cathodes, furnace linings and carbon electrodes business to funds advised by Triton. The two ­parties agreed on an enterprise value of EUR 250 million. After deducting standard debt-like items, mainly pension provisions, as well as other customary adjustments, the transaction will result in cash proceeds of more than EUR 230 million. The closing for this sale as well as for the sale of the graphite electrode business to Showa Denko are expected this year. With these two transactions, the former business unit Performance Products has been sold at a total enterprise value of EUR 600 million and approx. EUR 30 million above its book value on 30 June 2016.

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