Elekta completes the acquisition of Nucletron

Elekta completes the acquisition of Nucletron

 

Press Release                           
Stockholm, Sweden, September 15, 2011

Elekta AB (publ) today announced it has successfully completed its
acquisition of Nucletron, the world leader in brachytherapy treatment
planning and delivery. Through the combination Elekta will offer a
complete range of radiotherapy planning and delivery technologies. As
the market leader in Europe and with strong positions in North America
and Asia, Elekta will enhance the combined ability to meet the clinical
needs of cancer patients and health care providers throughout the world.

“Now we have successfully completed the acquisition and we are very
enthusiastic about building a broader, stronger and highly complementary
range of cutting-edge cancer care solutions,” said Elekta's President
and CEO, Tomas Puusepp. “Nucletron has a strong financial track record
with good growth, high profitability and a large share of recurring
revenues. We are committed to further increase the growth in Nucletron
to be in line with Eleka's long term growth targets. Nucletron will add
approximately 1,000 new customers to Elekta's customer base of more than
5,000 and the combination will allow the enlarged group to take mutual
advantage of Nucletron's expertise in brachytherapy combined with
Elekta's global presence, particularly in emerging markets”.

Under the terms of the acquisition agreement of June 21, 2011, Elekta
has paid a cash consideration of EUR 365 M to acquire Nucletron on a
cash and debt-free basis. The transaction is financed through Elekta's
existing cash on hand and available credit facilities. In 2010 Nucletron
reported net sales of EUR 128 M and EBITDA of EUR 26 M.

Nucletron will be included in Elekta's consolidated accounts from
September 15, 2011. For the fiscal year 2011/12 Nucletron is expected to
report net sales of approximately SEK 850 M and an operating result
(EBIT, excluding non-recurring costs) of approximately SEK 170 M.

Elekta expects the integrated businesses to generate both revenue and
cost synergies. Annual cost synergies have been estimated to
approximately SEK 75 M and are expected to be realized in fiscal year
2012/13. Synergy effects in fiscal year 2011/12 are expected to be
limited.

Acquisition-related non-recurring costs totaling approximately SEK 170 M
will affect Elekta's earnings. Transaction costs of SEK 10 M was
expensed in the first quarter of the fiscal year 2011/12 and another
approximately SEK 30 M is expected to be charged in the second quarter.
The remainder of SEK 130 M refers to restructuring costs and is expected
to be incurred in the second half of the fiscal year 2011/12 and during
2012/13. Based on a preliminary purchase price allocation the
amortization of intangible assets related to the acquisition will amount
to approximately SEK 75 M per year.

The acquisition is expected to be mildly dilutive to Elekta's earnings
per share in fiscal year 2011/12.

For questions, please contact:

Håkan Bergström, CFO, Elekta AB (publ)
+46 8 587 25 547, hakan.bergstrom@elekta.com

Stina Thorman, Vice President Corporate Communications, Elekta AB (publ)
+46 8 587 25 437, stina.thorman@elekta.com

Johan Andersson Melbi, Investor Relations Manager, Elekta AB (publ)
+46 702 100 451,
johan.anderssonmelbi@elekta.com (johan.anderssonmelbi@elekta.com)

Telephone conference at 16:00 CET

Elekta hereby invites analysts and media to a telephone conference today
at 16.00 CET
Swedish dial-in number: +46 (0)8 50 52 0114
UKdial-in number: +44 (0)207 1620 177
US dial-in number: +1 866 803 8344

Password: 903489

A replay of the event will be available until September 29, 2011. Please
call the numbers below and give the access code: 903489
Swedish replay number: +46 (0)8 505 203 33
UK replay number: +44 (0) 207 031 4064

The above information is such that Elekta AB (publ) shall make public in
accordance with the Securities Market Act and/or the Financial
Instruments Trading Act. The information was published at 14.30 CET on
September 15, 2011.

About Elekta

Elekta is a human care company pioneering significant innovations and
clinical solutions for treating cancer and brain disorders. The company
develops sophisticated, state-of-the-art tools and treatment planning
systems for radiation therapy and radiosurgery, as well as workflow
enhancing software systems across the spectrum of cancer care.
Stretching the boundaries of science and technology, providing
intelligent and resource-efficient solutions that offer confidence to
both healthcare providers and patients, Elekta aims to improve, prolong
and even save patient lives, making the future possible today. Elekta
solutions in oncology and neurosurgery are used in over 5,000 hospitals
globally, and every day more than 100,000 patients receive diagnosis,
treatment or follow-up with the help of a solution from the Elekta
Group. Elekta reported net sales of SEK 7,904 M and EBITDA of SEK 1,744
M. Elekta employs around 2,800 employees globally. The corporate
headquarter is located in Stockholm, Sweden, and the company is listed
on the Nordic Exchange under the ticker Elekta. Website: www.elekta.com

About Nucletron

Nucletron provides state of the art radiotherapy solutions for cancer
treatment that meet the evolving needs of patients, their caregivers and
healthcare professionals around the world. Nucletron has unmatched
global leadership in brachytherapy, a very precise, highly effective and
well-tolerated treatment option for healthcare providers, tailored to
the needs of individual patients. The company works with clinical teams
to constantly improve and develop an innovative portfolio of integrated
products, software and services that assures excellent patient outcomes.
Headquartered in Veenendaal, The Netherlands, Nucletron employs more
than 500 employees, with offices in 18 countries, and products available
in more than 100 countries around the world. Website: www.nucletron.com