Schweizer Electronic AG Strengthens Capital Structure Through Strategic Asset Sales

November 21st, 2025 3:31 AM
By: Newsworthy Staff

Schweizer Electronic AG is selling 15% of its Chinese subsidiary shares and several patents to raise €21 million, enabling strategic investments in aviation, defense, and European manufacturing while significantly improving its financial position.

Schweizer Electronic AG Strengthens Capital Structure Through Strategic Asset Sales

Schweizer Electronic AG is strengthening its capital structure through the sale of 15% of its shares in Schweizer Electronic (Jiangsu) Co., Ltd. to WUS Printed Circuit (Kunshan) Co., Ltd. along with several Chinese patents, generating approximately €21 million in cash inflow. This financial maneuver provides the foundation for critical future investments that will grant the company access to new growth segments including aviation and defense while substantially enhancing its competitive positioning. The transaction, subject to standard closing conditions, is anticipated to conclude before the end of 2025.

The capital injection will support the strategic transformation of Schweizer's business model and reinforce its Schramberg production location. The company maintains its commitment to Schramberg as a manufacturing hub, emphasizing the importance of local value creation, enhanced supply chain security, and reliable product supply to European and North American electronics markets. Investments will focus on scaling non-automotive market operations while continuing to serve the automotive electronics sector. Schweizer continues to pursue its fab-light strategy, with Schweizer Electronic (Jiangsu) Co., Ltd. remaining integral to this approach despite the ownership change, ensuring customers receive diverse product offerings from both German and Asian manufacturing facilities.

Nicolas-Fabian Schweizer, CEO of Schweizer Electronic AG, stated that targeted investments will strengthen Schramberg's technological capabilities and expand special solution expertise while increasing value chain robustness. He emphasized the importance of traceable, trustworthy manufacturing for sensitive applications and critical infrastructures in Europe, noting that current industrial policy initiatives in security and defense sectors present attractive growth opportunities. Marc Bunz, Chief Financial Officer, added that the share sale significantly improves Group liquidity and equity, though the company will continue pursuing its efficiency and strategy program with full commitment.

The transactions prompt an adjustment to Schweizer's 2025 financial outlook, with management now projecting an equity ratio of 20-25% compared to the previous 9-12% forecast and a net gearing ratio of -20 to +20% versus the earlier 100-125% expectation. Other key Group financial metrics remain largely unaffected by these strategic moves. Additional information about the company's operations and technology offerings can be found at https://www.schweizer.ag, while visual content is available through Schweizer Electronic AG | Flickr at https://www.flickr.com.

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