On 30 November 2018 the supervisory board of Nordecon AS made the decision to acquire the 40% shareholding in its subsidiary SWENCN OÜ from AS Luksusjaht for 42,000 own shares. The value of the transaction is 41,034 euros considering the emission value of Nordecon AS own shares of 0.977 euros per share. As the result of the transaction, Nordecon AS owns a 100% shareholding in SWENCN OÜ. SWENCN OÜ itself owns 100% of SWENCN AB, a company registered and operating in Sweden as general contractor. The aim of the transaction is to obtain a full ownership in a subsidiary operating in one of the main foreign markets of Nordecon AS.
After the transaction, Gerd Müller will be appointed as a new management board member and Maret Tambek as an alternate member of the board of SWENCN AB. SWENCN AB will continue with the following board memberships: Priit Luman (member), Gerd Müller (member) and Maret Tambek (alternate member). The term of office of current members of the board Sven Lennart Alpstål and Pär Oskar Wilhelm Lundeberg thereby expires.
The acquisition of 40% ownership in SWENCN OÜ and changes in management board will be completed in December 2018.
The acquisition of holding does not constitute the significant acquisition or transfer of holdings in the meaning of the Requirements for Issuers of NASDAQ Tallinn Stock Exchange Rules. The transaction made to acquire holding does however constitute related party transaction for the purposes of the Requirements for Issuers, as AS Luksusjaht owns pre-transaction 4,167,385 shares constituting 12.872% ownership of Nordecon AS. Post-transaction AS Luksusjaht will own 4,209,385 shares of Nordecon AS. The members of the supervisory board and the members of the management board do not have personal interest in the transactions.
Transaction does not have the effect on assets and liabilities of Nordecon AS as the assets and liabilities of SWENCN OÜ and its subsidiary SWENCN AB have been consolidated into Nordecon AS as subsidiaries also pre-transaction. The transaction will have the effect on Nordecon AS profit attributable to the owners of the parent starting from 01 December 2018, starting from which 100% of the profit of SWENCN OÜ and SWENCN AB will be accounted for instead of 60% based on pre-transaction ownership.
Nordecon (www.nordecon.com) is a group of construction companies whose core business is construction project management and general contracting in the buildings and infrastructures segment. Geographically the Group operates in Estonia, Ukraine, Finland and Sweden. The parent of the Group is Nordecon AS, a company registered and located in Tallinn, Estonia. The consolidated revenue of the Group in 2017 was 231 million euros. Currently Nordecon Group employs close to 700 people. Since 18 May 2006 the company's shares have been quoted in the main list of the NASDAQ Tallinn Stock Exchange.
Andri Hõbemägi
Nordecon AS
Head of Investor Relations
Tel: +372 6272 022
Email: andri.hobemagi@nordecon.com
www.nordecon.com