The troubled Berne, Switzerland-based Ascom Holding AG is to sell a majority stake in its Ascom Radicom AG subsidiary to Stuttgart-based electronics and auto parts maker Robert Bosch GmbH, which will combine the company with its own business in Berlin. With this co-operation, Bosch’s radio communications technology business should be further strengthened in the European private mobile radio market, the German said. Bosch does about $175m a year in its private mobile radio division which employs 1,100 people, and Ascom Radiocom expects 1993 sales of $160m and employs 900 people. Ascom said the planned venture would lead to improved results in 1995 – negotiations will be completed over the next year and until then Ascom will be responsible for all losses and restructuring costs at Ascom Radiocom, so it will have to take provisions for 1994 losses and restructuring against this year’s figures, but would not specify how much. Ascom said it was still not clear how much of the joint venture it would hold, although it was agreed Bosch would hold the majority and have management responsibility.
