Georg Fischer soars on sale of machining solutions business

** Swiss industrial company Georg Fischer GF shares surge 15.6% after announcing the sale of its machining solutions business to United Grinding Group

** The divestment deal, valued between CHF 630m-650m, allows Georg Fischer to exit a volatile, cyclical business, according to Vontobel

** Vontobel mentions that the company will now focus on its water and flow solutions business, a less cyclical area with potential for growth, especially after its recent acquisition of Uponor

** Despite a cut in FY24 guidance, Vontobel believes the company's simplification of its business model and focus on an attractive field will outweigh this reduction

** Georg Fischer sees its best day on 16 years, since September 2008, on top of the Swiss mid-cap index (.SMIM)