VEM Motors GmbH and Vacon Plc have signed a co-operation agreement for marketing and sales of frequency converters and motors. The agreement allows VEM to sell Vacon NX frequency converters through its own international sales network and allows Vacon to use VEM motors in their own projects. The co-operation agreement will strengthen both parties´ possibilities to offer complete drives packages on a market which is estimated to have an annual value of BUSD 5.5.

"Both VEM and Vacon are companies that want to work close to their customers. We see this co-operation with Vacon as a good way for both parties to further improve their attractiveness on the market," says Mr Jürgen Sander, CEO of VEM Motors GmbH.

"We have successfully worked with VEM already for many years on the Finnish market through the VEM company Esmac Oy. Now it is a good time to expand the co-operation also to other markets," says Mr Heikki Hiltunen, Vice President, Sales & Marketing at Vacon Plc.

VEM Motors GmbH is a German manufacturer of low voltage motors located in the town of Wernigerode. The turnover in 2002 was EUR 100.5 million. The new VEM production facilities in Wernigerode opened in 1995 are one of the most modern manufacturing plants for low voltage motors in the world.

Founded in 1993, Vacon Plc is a group of companies specialising in the development, manufacture and worldwide marketing of Vacon frequency converters in the power range 0.2 kW to 3 MW for applications in industry and the public sector. Vacon Plc is one of the fastest growing drives companies in the world. In 2002, the Group recorded a turnover of EUR 97.5 million.