ZURICH, Switzerland, April 7, 2006 (PRIMEZONE) -- Nobel Biocare, the world leader in innovative esthetic dental solutions, today announced a share buyback program of up to 1,500,000 shares. The repurchase will take place over a second trading line and will lead to a capital reduction by cancellation of these shares. The new share buyback program underlines Nobel Biocare's determination to actively manage shareholders' equity and to deal responsibly with the capital resources of the Company.
Nobel Biocare will launch a new share buyback program to repurchase up to 1,500,000 shares of the Company over a period of two years, which corresponds to approximately 5.8% of the current issued capital, using a second trading line established solely for this purpose. The second line of trading is expected to be opened on the virt-x on 8 May 2006. Future Annual General Meetings of Nobel Biocare shall resolve on a capital reduction of an amount corresponding to the shares repurchased.
Shares purchased on the second trading line are subject to the Swiss federal withholding tax at a rate of 35% on the difference between the repurchase price of the shares and their nominal value.
The share buyback program is subject to approval by the Swiss Takeover Board as well as by the upcoming 4th Annual General Meeting of Nobel Biocare, which will be held on 3 May 2006. In addition, shareholders will have to approve the Board of Directors' proposal to convert general reserves into free reserves.
The Company recently and ahead of schedule successfully completed a share buyback program to fund a share option program for employees and officers. As of today, Nobel Biocare owns 1,110,000 or approximately 4% of its own shares.
The Board of Directors is attentively pursuing all opportunities which offer state-of-the art innovative investments. However, as long as these areas of investment do not pertain to be of interest to Nobel Biocare and as long as these areas do not show a value increase, the Board shall prefer the possibilities of returning the funds to the shareholders.
"Our principle is to manage shareholder's equity responsibly. We have a solid balance sheet and continue to generate strong cash flows. This allows us to suggest a more substantial share buyback program to return cash to our shareholders," said Rolf Soiron, Chairman of Nobel Biocare. "Our strong growth can be financed internally. We shall certainly continue to also explore potential value enhancing acquisitions. Should convincing opportunities of strategic interest arise, we still have significant financing capacity," he continued.
NOBEL BIOCARE HOLDING AG
Nobel Biocare is a medical devices group and the world leader in innovative esthetic dental solutions with its brands Branemark System(r), NobelSpeedy(tm), NobelReplace(tm), NobelPerfect(r), NobelDirect(r), Replace(r) Select, NobelGuide(tm) (dental implants) and Procera(r) (individualized dental prosthetics). Nobel Biocare is a one-stop shop for restorative esthetic dentistry based on science, offering a wide range of innovative Crown and Bridge and Implant products, as well as training and education and clinically documented treatment concepts.
Nobel Biocare has some 1,650 employees and recorded revenue of EUR 485 million in 2005. The company is domiciled in Zurich, Switzerland with headquarters in Zurich and in Gothenburg, Sweden. Production takes place at four production sites located in Sweden and the USA. Nobel Biocare has direct sales organizations in 33 countries. The shares of the parent company Nobel Biocare Holding AG are listed on the SWX Swiss Exchange and on the Stockholm Stock Exchange, Sweden.