Munich (Germany), February 3, 2020 –AURELIUS Equity Opportunities SE & Co. KGaA (ISIN DE000A0JK2A8) today announced that it has entered into an agreement to acquire the Renewable Power Systems (the “RPS Business”) as well as Woodward’s protection relays business, headquartered in Kempen, Germany, from Woodward, Inc. (NASDAQ: WWD). With a total of approx. 410 employees, the combined businesses generated sales of approx. USD 80 million in financial year 2019. The closing of the transaction is subject to customary closing conditions including antitrust approval and is anticipated to occur in the next months.

The RPS Business produces converters and other key components used in wind turbines at its production sites in Kempen, Germany and Krakow, Poland. It is also active in the converter aftermarket, selling spare parts for the installed base, providing service contracts, training service personnel and delivering hardware and software upgrades through its global aftermarket services organization. Another part of the business is in protection relays and equipment that monitors electrical parameters.

 “We believe the RPS Business’ ability to solidify profitability and return to growth is best accomplished in the hands of an owner that will rebuild competitive positioning through greater focus,” said Tom Gendron, Chairman and Chief Executive Officer of Woodward. “Given the breadth of other investment and growth opportunities available to Woodward, this considerable effort is better accomplished in AURELIUS’ hands.”

This deal represents another example of AURELIUS’ expertise in complex divestment processes. In the coming months, AURELIUS will separate the RPS Business and the protection relays business from the structures of Woodward and set them up as independent businesses. The company offers significant operational improvement potential, which will be realized with the support of the AURELIUS Task Force. Both businesses offer growth potential by expanding their product and service offerings.

Gert Purkert, Executive Board Member of AURELIUS said: “Both the RPS Business and the protection relays business are strong, and in growing markets. We look forward to working with the team to ensure a smooth transition and position the businesses as independent entities. Growing power demand and growth in the renewables industry will offer good growth opportunities going forward.”

Noerr served as legal adviser to AURELIUS.