Continental's Separation of ContiTech a Positive Move -- Market Talk

Dow Jones

Apr 09, 2025

1332 GMT - Auto-parts maker Continental's expected sale of its ContiTech business is a positive move as the remaining company will be a clean tire asset once the transaction is concluded in 2026, Deutsche Bank analyst Christoph Laskawi writes. While ContiTech has been struggling more recently, cash generation and margin potential especially in the industrial division have been decent overall. The transaction will allow the tire business to reduce debt quickly and move to become a cash return story with a very healthy balance sheet, he adds. "According to management, synergies have been limited between ContiTech and tires which is why there should be close to zero dyssynergies from the disposal." Shares fall 4.1%. (dominic.chopping@wsj.com)

(END) Dow Jones Newswires

April 09, 2025 09:32 ET (13:32 GMT)

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While ContiTech has been struggling more recently, cash generation and margin potential especially in the industrial division have been decent overall. The transaction will allow the tire business to reduce debt quickly and move to become a cash return story with a very healthy balance sheet, he adds. \"According to management, synergies have been limited between ContiTech and tires which is why there should be close to zero dyssynergies from the disposal.\" Shares fall 4.1%. (dominic.chopping@wsj.com) \n</p>\n<pre>\n \n</pre>\n<p>\n  (END) Dow Jones Newswires\n</p>\n<p>\n  April 09, 2025 09:32 ET (13:32 GMT)\n</p>\n<p>\n  Copyright (c) 2025 Dow Jones &amp; Company, Inc.\n</p>\n</font>","source":null,"html":"<!DOCTYPE html>\n<html>\n<head>\n<meta http-equiv=\"Content-Type\" content=\"text/html; charset=utf-8\" />\n<meta name=\"viewport\" content=\"width=device-width,initial-scale=1.0,minimum-scale=1.0,maximum-scale=1.0,user-scalable=no\"/>\n<meta name=\"format-detection\" content=\"telephone=no,email=no,address=no\" />\n<title>Continental's Separation of ContiTech a Positive Move -- Market Talk</title>\n<style type=\"text/css\">\na,abbr,acronym,address,applet,article,aside,audio,b,big,blockquote,body,canvas,caption,center,cite,code,dd,del,details,dfn,div,dl,dt,\nem,embed,fieldset,figcaption,figure,footer,form,h1,h2,h3,h4,h5,h6,header,hgroup,html,i,iframe,img,ins,kbd,label,legend,li,mark,menu,nav,\nobject,ol,output,p,pre,q,ruby,s,samp,section,small,span,strike,strong,sub,summary,sup,table,tbody,td,tfoot,th,thead,time,tr,tt,u,ul,var,video{ font:inherit;margin:0;padding:0;vertical-align:baseline;border:0 }\nbody{ font-size:16px; line-height:1.5; color:#999; background:transparent; }\n.wrapper{ overflow:hidden;word-break:break-all;padding:10px; }\nh1,h2{ font-weight:normal; line-height:1.35; margin-bottom:.6em; }\nh3,h4,h5,h6{ line-height:1.35; margin-bottom:1em; }\nh1{ font-size:24px; }\nh2{ font-size:20px; }\nh3{ font-size:18px; }\nh4{ font-size:16px; }\nh5{ font-size:14px; }\nh6{ font-size:12px; }\np,ul,ol,blockquote,dl,table{ margin:1.2em 0; }\nul,ol{ margin-left:2em; }\nul{ list-style:disc; }\nol{ list-style:decimal; }\nli,li p{ margin:10px 0;}\nimg{ max-width:100%;display:block;margin:0 auto 1em; }\nblockquote{ color:#B5B2B1; border-left:3px solid #aaa; padding:1em; }\nstrong,b{font-weight:bold;}\nem,i{font-style:italic;}\ntable{ width:100%;border-collapse:collapse;border-spacing:1px;margin:1em 0;font-size:.9em; }\nth,td{ padding:5px;text-align:left;border:1px solid #aaa; }\nth{ font-weight:bold;background:#5d5d5d; }\n.symbol-link{font-weight:bold;}\n/* header{ border-bottom:1px solid #494756; } */\n.title{ margin:0 0 8px;line-height:1.3;color:#ddd; }\n.meta {color:#5e5c6d;font-size:13px;margin:0 0 .5em; }\na{text-decoration:none; color:#2a4b87;}\n.meta .head { display: inline-block; overflow: hidden}\n.head .h-thumb { width: 30px; height: 30px; margin: 0; padding: 0; border-radius: 50%; float: left;}\n.head .h-content { margin: 0; padding: 0 0 0 9px; float: left;}\n.head .h-name {font-size: 13px; color: #eee; margin: 0;}\n.head .h-time {font-size: 11px; color: #7E829C; margin: 0;line-height: 11px;}\n.small {font-size: 12.5px; display: inline-block; transform: scale(0.9); -webkit-transform: scale(0.9); transform-origin: left; -webkit-transform-origin: left;}\n.smaller {font-size: 12.5px; display: inline-block; transform: scale(0.8); -webkit-transform: scale(0.8); transform-origin: left; -webkit-transform-origin: left;}\n.bt-text {font-size: 12px;margin: 1.5em 0 0 0}\n.bt-text p {margin: 0}\n</style>\n</head>\n<body>\n<div class=\"wrapper\">\n<header>\n<h2 class=\"title\">\nContinental's Separation of ContiTech a Positive Move -- Market Talk\n</h2>\n\n<h4 class=\"meta\">\n\n\n<div class=\"head\" \">\n\n\n<div class=\"h-thumb\" style=\"background-image:url(https://static.tigerbbs.com/150f88aa4d182df19190059f4a365e99);background-size:cover;\"></div>\n\n<div class=\"h-content\">\n<p class=\"h-name\">Dow Jones </p>\n<p class=\"h-time\">2025-04-09 21:32</p>\n</div>\n\n</div>\n\n\n</h4>\n\n</header>\n<article>\n<font class=\"NormalMinus1\" face=\"Arial\">\n<p>\n     1332 GMT - Auto-parts maker Continental's expected sale of its ContiTech business is a positive move as the remaining company will be a clean tire asset once the transaction is concluded in 2026, Deutsche Bank analyst Christoph Laskawi writes. While ContiTech has been struggling more recently, cash generation and margin potential especially in the industrial division have been decent overall. The transaction will allow the tire business to reduce debt quickly and move to become a cash return story with a very healthy balance sheet, he adds. \"According to management, synergies have been limited between ContiTech and tires which is why there should be close to zero dyssynergies from the disposal.\" Shares fall 4.1%. (dominic.chopping@wsj.com) \n</p>\n<pre>\n \n</pre>\n<p>\n  (END) Dow Jones Newswires\n</p>\n<p>\n  April 09, 2025 09:32 ET (13:32 GMT)\n</p>\n<p>\n  Copyright (c) 2025 Dow Jones &amp; Company, Inc.\n</p>\n</font>\n\n</article>\n</div>\n</body>\n</html>\n","isBrief":false,"type":0,"news_type":1,"symbol":"CTTAY","symbol_name":"Continental AG","start_time":0,"source_url":"https://dowjonesnews.com/newdjn/logon.aspx?AL=N","article_id":"2526364789","we_media_id":"106","thumbnails":[],"rights":null,"url":"https://stock-news.laohu8.com/highlight/detail?id=2526364789","pubTimestamp":1744205520,"columns":[],"sourceInfo":null,"weMediaInfo":{"media_name":"Dow Jones","introduction":"Dow Jones publishes the world’s most trusted business news and financial information in a variety of media.","home_visible":0,"id":"106","head_image":"https://static.tigerbbs.com/150f88aa4d182df19190059f4a365e99"},"summary":"1332 GMT - Auto-parts maker Continental's expected sale of its ContiTech business is a positive move as the remaining company will be a clean tire asset once the transaction is concluded in 2026, Deutsche Bank analyst Christoph Laskawi writes. While ContiTech has been struggling more recently, cash generation and margin potential especially in the industrial division have been decent overall. The transaction will allow the tire business to reduce debt quickly and move to become a cash return story with a very healthy balance sheet, he adds. \"According to management, synergies have been limited between ContiTech and tires which is why there should be close to zero dyssynergies from the disposal.\" Shares fall 4.1%. ","collect":0,"end_time":0,"defaultTopTitle":"","property":[],"viewcount":null,"language":"en","relate_stocks":{"CTTAY":"Continental AG","BK4124":"机动车零配件与设备"},"translate_title":"大陆集团分拆康迪泰克是积极举措——市场讨论","themeId":null,"isJumpTheme":false,"ttsUrl":null,"symbols_score_info":{"CTTAY":0.9},"content_text":"1332 GMT - Auto-parts maker Continental's expected sale of its ContiTech business is a positive move as the remaining company will be a clean tire asset once the transaction is concluded in 2026, Deutsche Bank analyst Christoph Laskawi writes. While ContiTech has been struggling more recently, cash generation and margin potential especially in the industrial division have been decent overall. The transaction will allow the tire business to reduce debt quickly and move to become a cash return story with a very healthy balance sheet, he adds. \"According to management, synergies have been limited between ContiTech and tires which is why there should be close to zero dyssynergies from the disposal.\" Shares fall 4.1%. (dominic.chopping@wsj.com) \n\n\n \n\n\n  (END) Dow Jones Newswires\n\n\n  April 09, 2025 09:32 ET (13:32 GMT)\n\n\n  Copyright (c) 2025 Dow Jones & Company, Inc.","kind":"highlight","is_publish_news":true,"is_publish_highlight":false,"is_publish_live":false,"is_publish_wemedia":null,"editions":null,"column":"","sentiment":"1","news_tag":"corporation","news_rank":0,"symbols":[],"gpt_button":0,"need_auth":true,"code":"91000000","status":"200"}}}