MILAN, Italy (Nov. 12, 2004) — Pirelli S.p.A. plans to sell a majority interest of its Energy and Telecom Cables and Systems businesses to allocate resources to developing “strategic areas,” the company said.
Pirelli announced its intentions in its financial report for the first nine months of the year. Pirelli reported net income of $296.6 million, improved from a loss of $42.7 million last year. Revenues rose 7.7 percent to $6.87 billion.
Pirelli said it intends to maintain a minority interest in the Energy and Telecom Cables businesses. The company said it has succeeded in overcoming problems in the last two years, making the businesses of interest to primary institutional investors.
In addition, Pirelli said it is building three new plants using MIRS manufacturing technology in Germany, the U.S. and the United Kingdom. The plants will be operational during the first half of 2005, Pirelli said.