Metso Corporation's applications for clearance of its offer for Svedala Industri AB from the EU Commission and the US Federal Trade Commission (FTC) are still under consideration. Metso has now received the EU Commission's Statement of Objections related to the offer and is currently analyzing the implications of this Statement. Metso remains committed to its conditional original offer of June 21, 2000. As a result, Metso has decided to extend the acceptance period for the offer to February 2, 2001.
On September 18, 2000, Metso announced the extension of the acceptance period for its public offer for Svedala Industri AB to 30 November 2000 following the request from FTC for additional information. The EU Commission subsequently extended its review procedure into a second phase.
Metso has received the EU Commission's Statement of Objections based on the Commission's detailed investigation. Metso is currently analyzing the implications of this Statement and intends to enter into discussions in relation to the areas of concern expressed by the EU Commission, including any remedies required to alleviate such concerns. The review of the application for clearance with the FTC is not as advanced but is progressing and Metso will continue its efforts to obtain clearance.
As a result of the continued review by the EU Commission and the FTC, Metso has decided to extend the acceptance period for the offer for Svedala Industri AB to February 2, 2001. The EU Commission’s final decision is due on or before February 2, 2001. Metso may decide on a further extension of the acceptance period should it be necessary for reasons related to the implementation of the offer. With the exception of the extension of the acceptance period, the terms of the offer by Metso to the shareholders in Svedala Industri AB, announced on June 21, 2000, are unchanged (offer document dated July 7, 2000).
Metso owns a total of 567,300 shares of Svedala Industri AB, equivalent to 1.2 percent of the company's share capital.
The proposed acquisition of Svedala represents an important strategic move which would enhance shareholder value. The integration planning process has been ongoing during the fall to the extent permitted having due regard to the pending regulatory approval processes.
Metso Corporation is a global supplier of process industry machinery and systems. Metso's business areas are fiber and paper technology, automation and control technology, and machinery. In 1999, the net sales of Metso Corporation were EUR 3.4 billion, and the personnel totaled approximately 23,000. Metso Corporation is listed on the Helsinki and New York Stock Exchanges.