On April 5, 2017 the Annual General Meeting of Svenska Cellulosa Aktiebolaget SCA (“SCA”) decided in favor of the Board of Director’s proposal to distribute all shares in Essity Aktiebolag (publ) (“Essity”) (formerly SCA Hygiene AB) to SCA’s shareholders. The Board of Director’s were at the same time authorized to determine the record date for the distribution. SCA’s Board of Director’s has now set the record date for the distribution. All shares in the wholly owned subsidiary Essity will be distributed, according to which one share of Class A in SCA carries entitlement to one share of Class A in Essity and one share of Class B in SCA carries entitlement to one share of Class B in Essity.
The last day for trading in the SCA shares with the right to receive distribution of shares in Essity is Friday, June 9, 2017. As of Monday, June 12, 2017 (the ex-distribution date), the SCA shares will be traded without the right to receive distribution of shares in Essity. For Essity, the first day of trading is expected to be Thursday, June 15, 2017.
On the ex-distribution date of June 12, 2017, the distributed shares of Essity will be added to the index at a zero market value. Employing the Basket method for valuation, the difference in value between the price of shares of SCA in the index as of close of business June 9, 2017 and the first trade price received (after opening auction) on June 12, 2017 will be calculated and applied intraday as a fixed price of the Essity index shares. This calculated value will remain unchanged and continue to be utilized as the price of the Essity index shares until these shares begin normal trading.
In addition, in order to maintain the integrity of the index, Nasdaq has determined that in its discretion and for this specific case, both the shares of SCA and the shares of Essity will remain in the index until the next regular evaluation, which is scheduled to be in December 2017 for mid-December 2017 effectiveness. At the time of this next evaluation, both SCA and Essity will be reviewed individually for continued eligibility status.
For further information concerning this notice please contact Nasdaq Global Indexes Operation Team, telephone US - + 1 844 717-0708 or International Callers – Non-US Callers - + 1 301 978 8311 or email at indexes@nasdaq.com.
