Corporate | 17 December 2007 07:37
ARAGON AG / Miscellaneous Release of a Corporate News, transmitted by DGAP - a company of EquityStory AG. The issuer / publisher is solely responsible for the content of this announcement. ---------------------------------------------------------------------- ++ Aragon AG takes a 57.4% stake in Compexx Finanz Group, Regensburg ++ Profitable, fast growing, multi-level marketing organisation with a highly modern processing platform and an open architecture ++ Nucleus for a long-term Buy-and-Build-Strategy in the segment 'multi-level marketing' ++ Target: Compexx to become one of the top 3 independent multi-level marketing organisations within five years Aragon AG has signed a contract to take a 57.4% stake in Compexx Finanz GmbH and its affiliated company FCS Fonds & Credits Service GmbH, both located in Regensburg. The contract is signed under conditions precedent, which Aragon’s management expects to occur in the first quarter of 2008. The Compexx Group is a highly qualified, multi-level marketing organisation that is active throughout Germany. At present, Compexx provides with more than 600 Financial Consultants (of which 200 work full-time) in 45 locations in Germany a wide range of financial services for about 20,000 clients, in particular retirement provisions and insurance products. The business transactions are processed through a self developed, highly efficient scalable distribution platform with an open architecture. With the acquisition of the stake in Compexx, Aragon consequently continues to follow its Buy-and-Build strategy and now offers, together with its successful segments Brokerage, Banking & Banking Services as well as Institutional Sales an additional distribution channel with 'Multi-Level-Marketing.' This acquisition means that Aragon immediately doubles its sales volume in the asset class Insurance, thus achieving a further diversification of the product sales-mix. Like the other companies under the umbrella of Aragon, Compexx Finanz GmbH will continue to operate under its own brand and with the current, very successful management team. Dr. Sebastian Grabmaier, CEO of Aragon AG, is pleased with the successful establishment of the Brokerage business and now looks forward to the development of a market-leading, independent multi-level marketing organisation: 'With Jung, DMS & Cie. AG – that has emerged from a fusion of four broker pools – we have proven that within just a few years, through our Buy-and-Build approach, we were able to build, in terms of the number of affiliated brokers, the largest broker pool in Germany. Thereby, we have always followed the requirements and needs of our distribution partners. Following this path of success we would like to establish - with Compexx as the nucleus in the segment multi-level-marketing - one of the biggest independent pyramid sales forces for financial products in Germany within the next years. Our aim is that by then, we will have at least 1,000 full-time financial consultants with Compexx which should generate a product sales of EUR 1.5 to 2 billion and revenues of about EUR 100 million.' It’s a window of opportunity for those steps forward as the changes in regulations introduced by the VVR (European Insurance Mediation Directive) and the reform of the German Insurance Contract Act (German: VVG) have created pressure for consolidation on the marketplace. Dr. Grabmaier would like to take full advantage of this chance: 'We intend to be an active market player in the upcoming consolidation, and take hold of attractive opportunities for further acquisitions.' Ralph Konrad, CFO of Aragon AG, added: 'Together with Compexx, Aragon is coming much closer to its target of being the number one under the truly independent financial distribution organisations. Compexx, alongside with the already established subsidiaries, will be a further pillar of support and revenue for Aragon.' Lutz Richter, Managing Director of Compexx Finanz GmbH looks forward to the future together with Aragon: 'Under the umbrella of Aragon, we would like to take the big advantage and become the leading independent multi-level marketing organisation in Germany. Our sales and insurance know-how, combined with the highly modern distribution and processing platform for mutual and closed-end funds of Aragon Group creates for us a unique starting position on the marketplace. I am certain that not only our present financial consultants, but also those advisors who are searching for a new 'home', will be convinced of the advantages of our co-operation with Aragon.' ++ About Aragon AG Aragon is a broad diversified financial distribution company, with the divisions: Retail Sales, Institutional Sales and Banking & Banking Services. Aragon is active on the marketplace with multiple independent subsidiaries. The company’s aim is to integrate various distribution models under one roof, without disturbing the individual identity of each sales company. The result is a wide diversification across various asset classes and distribution types, which generates a high stability in corporate earnings. Further information about the company and its subsidiaries can be viewed on the website: www.aragon-ag.com. Contact: Aragon Aktiengesellschaft Achim Pfeffer Head of Investor Relations Tel.: +49(0)611 890 575-574 Fax: +49(0)611 890 575-99 E-Mail: achim.pfeffer@aragon-ag.de 17.12.2007 Financial News transmitted by DGAP ----------------------------------------------------------------------