Vantaa, Finland, 2017-08-02 08:00 CEST (GLOBE NEWSWIRE) -- Cramo Plc Investor News 2 August 2017 at 9.00 (EET)
Cramo divests its operations in Latvia and Kaliningrad
Cramo Group divests its operations in Latvia and Kaliningrad by selling the share capital of its operative companies, SIA Cramo and Cramo Kaliningrad OOO to AS Storent Investments. The transaction includes all assets and liabilities of the companies. Cramo’s 43 employees will continue in the employment of the companies. Currently, Cramo has 7 depots in Latvia and Kaliningrad within Equipment Rental business division. Cramo’s Modular Space business in Latvia is very limited. The transaction was completed on 1 August 2017.
The transaction will have a positive impact on Cramo Group’s third quarter result amounting approximately to EUR 1.8 million. In 2016, sales of operations in Latvia and Kaliningrad amounted to EUR 6.3 million with comparable EBITA of EUR -0.8 million.
“The decision to divest our operations in Latvia and Kaliningrad is in line with Cramo’s new strategy Shape and Share, aiming towards a leading position in all Cramo markets. Our performance in Latvia and Kaliningrad has not met our high expectations in terms of return on investment and profitability. We want to focus our investments in markets where we estimate to receive the highest returns in the long term”, says Mr Leif Gustafsson, President and CEO of Cramo Group.
CRAMO PLC
Leif Gustafsson
President and CEO
Further information:
Mr Leif Gustafsson, President and CEO, tel: +358 10 661 10
Mr Aku Rumpunen, CFO, tel: +358 10 661 10, +358 40 556 3546
Mr Mattias Rådström, SVP, Communication, Marketing and Investor Relations, tel: +46 70 868 7045
Distribution:
Nasdaq Helsinki Ltd.
Major media
www.cramogroup.com
Cramo is Europe’s second largest rental services company specialising in construction machinery and equipment rental and rental-related services as well as the rental of modular space. Cramo operates in fifteen countries and in about 324 depots. With a group staff around 2,600, Cramo's consolidated sales in 2016 was EUR 712 million. Cramo shares are listed on Nasdaq Helsinki Ltd.
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