GOTHENBURG, Sweden, Feb. 24, 2004 (PRIMEZONE) -- The Board of Directors of Carl Bro has decided to implement a new share issue for DKK 75M, with a right of preference for the company's shareholders, subject to the approval by an Extraordinary General Meeting. Bure has also acquired an additional 4 per cent of the shares in Carl Bro.
Bure owns 50.5 per cent of Carl Bro and has guaranteed the whole new share issue in Carl Bro together with Loenmodtagernes Dyrtidsfond. Bure has undertaken to subscribe to its share of the new issue and to guarantee subscription to a portion of the shares which might not be subscribed. The new issue will be decided by an Extraordinary General Meeting of Carl Bro on 4 March.
Bure has also acquired an additional 4 per cent of the shares in Carl Bro from a previous member of the management team in the company. With the new issue and the acquisition of shares, Bure's future investment in Carl Bro could amount to approximately SEK 85M which is equivalent to approximately 60 per cent of the ownership. After the acquisition and the share issue, Carl Bro will be included as a subsidiary in the Bure Group. Annual sales of the Bure Group will increase by approximately SEK 2,4 billion.
When guaranteeing the new share issue, Bure and Loenmodtagernes Dyrtidsfond agreed a joint owner agenda for Carl Bro and a supplement to the shareholder agreement, which takes into account Bure's increased influence.
"Carl Bro has been in a difficult situation in recent years due the weak market and its need to focus its operations. As a consequence, the company has had significant result problems. The new share issue strengthens Carl Bro financially and improves the company's prerequisites for successfully competing in the market. The transaction is in line with Bure's stated action plan which is to focus operations on and to strengthen our existing unlisted portfolio companies," says Bure's President Lennart Svantesson.
Bure Equity AB (publ) Lennart Svantesson, President +46 31-708 64 20, +46 733-11 00 11 Johan Burenius, Investment Manager +46 31-708 64 32, +46 705-37 76 37
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