GOTHENBURG, Sweden, July 21, 2003 (PRIMEZONE) -- Bure (Other OTC:BRVVF) has signed an agreement to sell all of its holdings in Nordic Capital's funds II, III and IV.
"The sale is in line with our established strategy to divest indirect holdings and to concentrate on our current portfolio of mainly unlisted companies," said Bure's CEO, Lennart Svantesson.
The total consideration is expected to result in a gain over book value of SEK 146 million. Furthermore, the net debt of Bure will be significantly reduced, on the parent company level immediately to around SEK 425 million and then further reduced to SEK 245 million as the transaction is completed through three additional instalments to be paid out during the next twelve months(1).
As part of the agreement Bure has visavi the buyer undertaken not to disclose the purchase price.
Bure will after the transaction have no outstanding commitments toward Nordic Capital but will however retain an approximate eight per cent ownership in Molnlycke Health Care and an approximate ten per cent ownership in Elmo Leather. These holdings, with a total book value of SEK 191 million, were acquired in parallel with Nordic Capital's funds and will be divested in due course.
Bure publishes its interim report for the period January-June 2003 on August 25, 2003.
(1) Based on net debt figures in the interim report for the period January-March 2003 published on May 21, 2003 and hence excluding the recently concluded rights issue.
For further information, please contact: Lennart Svantesson, CEO +46 (0)31 708 64 20, +46 (0)733 11 00 11 Johan Burenius, Investment +46 (0)31 708 64 32, +46 (0)705 37 76 37 Manager
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