Phillips Selling Subsidiary To Affiliate Of West German Firm
BARTLESVILLE, Okla. (AP) _ Phillips Petroleum Co. said it has agreed to sell its outstanding stock in Bartlesville-based Applied Automation, Inc. to Mannesmann Capital Corp. of New York, the U.S. affiliate of a West German company.
Terms of the sale of the company, which employs 375 people, were not announced. The transaction, subject to regulatory approval, is scheduled for closing in late May.
Mannesmann, an affiliate of Mannesmann AG of Duesseldorf, West Germany, plans to keep the company headquarters in Bartlesville and to retain current employees, Phillips said in an announcement Friday.
″The sale of Applied Automation is part of our ongoing program to focus our resources on our core oil, gas and chemicals businesses,″ said C.J. Silas, Phillips chairman and chief executive officer.
″With a new owner, Applied Automation will be able to broaden its product lines and expand more rapidly, benefitting Applied’s customers, employees and the community.″
Applied Automation is a major supplier of measurement and control products for Phillips’ worldwide operations. Incorporated in 1968, it has engineering, research, manufacturing, service and marketing offices in Bartlesville. It has sales and service offices in the United Kingdom and the Netherlands.
One of Mannesmann’s main operating companies is Hartmann and Braun, which manufactures and markets measurement instruments and process control systems. Hartmann and Braun had sales of about $500 million last year. Applied Automation had sales of more than $50 million last year.
David Snow, a Hartmann and Braun manager, will become president of Applied Automation. Guy Sutherland, current Applied president, will return to Phillips after a transition period, the company said.