Bekaert reinforces its Advanced Coatings

N.V. Bekaert S.A. announces today that it has acquired 48.7 % of the shares of Sorevi S.A. Through this participation, and through jointly technological developments and marketing with Sorevi, Bekaert reinforces its position in the field of the so-called ´diamond-like coatings´.

Diamond-like coatings are high-tech coatings characterised by a high hardness and a very low friction, leading to a high wear resistance. Moreover, these coatings are very corrosion resistant and have pronounced anti-sticking characteristics. Diamond-like coatings are increasingly being used as wear protective or non-sticking coatings in a large variety of industrial applications, such as machine components, automotive parts, moulds used for plastic and metal forming, and for medical tools.

Sorevi S.A., headquartered at Limoges (France), is a recognised European leader in the field of ´Diamond-Like Carbon´ (DLC) coatings (www.sorevi.fr)

Sorevi´s high quality of coatings, obtained through a proprietary technology, makes them very suitable for various highly demanding mechanical applications. Sorevi, who started its activities in 1989, showed an impressive growth in the past years, leading to an expected turnover for 2001 of EUR 4.5 million. Sorevi is presently establishing a second production plant at Savoie in France, called ´Sorevi Savoie´, that is expected to become operational in January 2002.

Bekaert, through its subsidiary ´Bekaert Dymonics n.v.´ (www.bekaert.com/dymonics) located at Zulte (Belgium) and belonging to its fast growing ´Bekaert Advanced Materials´ Division, has in recent years successfully developed and commercialised its coating technology for diamond-like coatings under the registered trademark Dylyn®. Bekaert has build up a strong position in diamond-like coatings as wear protective coatings on moulds for optical discs, as electrically conductive and wear resistant coatings in electronic applications, as medical coatings and as wear resistant coatings for high-volume automotive applications. Bekaert has four plants for diamond-like coatings; in Belgium, in Germany, in the USA and in Singapore (see also Bekaert´s press release d.d. 23.11.2000).

The partnership between Bekaert and Sorevi will allow both companies to mutually exchange their complementary coating technologies in order to offer their respective customers a broader product and technology portfolio, as well as to supply customers from different plants in order to safeguard delivery in all circumstances. In addition, Bekaert and Sorevi will jointly develop improved and new coatings in order to be able to respond to specific customer needs and to create new application areas.

As expressed by Claude Lory, General Manager of Sorevi S.A., "Through this partnership, Sorevi confirms and strengthens its present European leading position in the field of DLC coatings for automotive engine parts. The technical collaboration with a strong and dedicated partner such as Bekaert guarantees long term continuity of the high quality service to our customers. In addition, the complementary characteristics between our respective coating technologies will allow us to jointly develop new customised coatings which will allow us to better respond to our customer needs and to extend the industrial application areas for our coatings."

Georges Brys, Corporate Vice-President of Bekaert and General Manager of Bekaert Advanced Materials, added: "This technical collaboration and participation in Sorevi´s capital reinforces our position as renowned provider of advanced coating solutions for a variety of industries. In particular, the addition of Sorevi´s complementary technology will allow us to accelerate our burgeoning entrance in high-volume automotive applications for DLC coatings. This partnership is also important for further improving our present strong patent position and fits in the framework of our geographical expansion efforts. Co-operating with a fast-growing producer and supplier of high quality coatings confirms Bekaert´s objective to become a world-wide leader in a broad variety of coating technologies for various industrial applications."

BEKAERT (www.bekaert.com) is a world leader in advanced metal transformation and coating technologies, headquartered in Belgium with a total turnover in 2000 of EUR 2.7 billion. Founded in 1880, the company has more than 80 production plants world-wide and has 17.200 employees.

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