AURELIUS acquires Renewable Power Systems and Protection Relays Business from US-based Woodward, Inc.

- Producer of converters and aftermarket components for the wind industry as well as medium and high voltage protection relays for industrial applications

- AURELIUS expertise in complex carve-outs once again pays off

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.

ABOUT AURELIUS

AURELIUS Group is a pan-European investment group with offices in Munich, London, Stockholm, Madrid and Amsterdam. Since it was founded in 2006, AURELIUS has grown from a local turnaround investor to an international multi-asset manager.

AURELIUS Equity Opportunities SE & Co. KGaA (ISIN: DE000A0JK2A8, ticker symbol: AR4) is the listed entity within AURELIUS Group and focuses on investing in mid-market corporate carve-outs and platform build-ups in a broad range of industries. With a team of more than 80 in-house operations experts, AURELIUS actively supports its portfolio companies in their long-term development. AURELIUS Equity Opportunities currently has 23 portfolio companies located across Europe which employ around 13,000 people and generate annual revenues of approx. EUR 3.5 billion. The shares of AURELIUS Equity Opportunities are traded on all German stock exchanges.

AURELIUS Group also operates in the areas of growth capital, real estate opportunities and debt. AURELIUS Growth Capital invests in leveraged buyouts usually in succession or corporate spin-off situations. AURELIUS Real Estate Opportunities focuses on real estate investments, the value of which can be increased in the long-term by means of active management. AURELIUS Finance Company is an alternative direct lender, focused on providing flexible debt solutions to small and mid-market firms across Europe.

With its group charity AURELIUS Refugee Initiative e.V., AURELIUS provides comprehensive support for refugees on their way towards a better life.

To find out more, visit www.aureliusinvest.de.

CONTACT

AURELIUS Group
Anke Banaschewski
Investor Relations & Corporate Communications
Phone: +49 (89) 544799 - 0
Fax: +49 (89) 544799 - 55
E-mail: [email protected]