On 9 March, Veidekke reported that they had entered into an agreement with Altor Fund III (Altor) for the sale of 100% of the shares of Veidekke Gjenvinning AS. The agreement was subject to approval from the Norwegian Competition Authority. Such approval has now been granted, and the transaction will thus be carried out in the middle of June and will be effective in the accounts in the second quarter of 2011.
Background
Veidekke has entered into an agreement with Altor Fund III (Altor) for the sale of 100% of the shares of Veidekke Gjenvinning AS. Altor previously announced the acquisition of Veolia Miljø AS on 15 February 2011. Veidekke Gjenvinning will complement Veolia Miljø in Altor's drive in the Norwegian market.
Veidekke Gjenvinning has been a part of Veidekke Industry. In 2010, the company's turnover was NOK 410 million and profit before tax (EBT) was NOK 21 million. There are 143 employees in the company. More financial figures for Veidekke Gjenvinning can be found in the attached table.
For Veidekke, the transaction entails an accounting profit of approx. NOK 105 million and a positive effect on interest bearing debt of NOK 310 million.
Veidekke has sound financial capacity, which will be further strengthened by this transaction. The Group has a positive view of developments in the building and construction markets in Scandinavia and believes there are good business opportunities for the Group's remaining business areas.
For further information please contact:
Jørgen Wiese Porsmyr, Executive Vice President and CFO, Veidekke ASA,
tel. +47 21 05 76 44 / + 47 90 75 90 58, jorgen.wiese-porsmyr@veidekke.no
Jørgen Michelet, Director of Finance and IR, tel. +47 21 05 77 22 / +47 917 43 856, jorgen.michelet@veidekke.no
This information is subject of the disclosure requirements pursuant to section 5-12 of the Norwegian Securities Trading Act.
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