💎 Fed’s first rate cut since 2020 set to trigger market. Find undervalued gems with Fair ValueSee Undervalued Stocks

Thyssenkrupp to invest up to $250 million in U.S. elevator site: executive

Published 07/27/2018, 03:12 AM
Updated 07/27/2018, 03:20 AM
© Reuters. FILE PHOTO: Thyssenkrupp's logo is seen close to the elevator test tower in Rottweil
TKAG
-

FRANKFURT (Reuters) - German industrial conglomerate Thyssenkrupp (DE:TKAG) is planning to invest $150 to $250 million in a new U.S. headquarters for its elevators business, an executive told Reuters.

"We see no indication that the (elevators) boom is waning," unit head Andreas Schierenbeck told Reuters.

Thyssenkrupp, which employs 20,000 staff in the Americas, is planning to build a new site including a test tower in Atlanta by 2022, he added.

While new installations of elevators remain a core business, a large part of earnings from the business are generated with maintenance services. The elevators unit is Thyssenkrupp's most profitable, accounting for almost half of the company's 2017 core earnings of 1.9 billion euros ($2.2 billion).

© Reuters. FILE PHOTO: Thyssenkrupp's logo is seen close to the elevator test tower in Rottweil

Trade tensions have so far not impacted the unit's business, Schierenbeck said. "We procure locally, produce locally, install locally, and maintenance is done locally - it is a very stable business. The U.S. property market is in good shape, there's construction going on everywhere."

Latest comments

Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.
© 2007-2024 - Fusion Media Limited. All Rights Reserved.