07:00 London, 09:00 Helsinki, 1 March 2011 – Ruukki Group Plc, Stock Exchange Release
RUUKKI GROUP SELLS FINNISH PALLET BUSINESS TO GROUP OF INVESTORS FOR EUR 9 MILLION
Ruukki Group Plc (“Ruukki” or the “Company”) (LSE: RKKI, OMX: RUG1V) is pleased to announce it has signed an agreement to sell the shares of its Finnish pallet business, Oplax Oy, to a group of investors including Russian Capital Management (Mr Olli Pohjanvirta), Mr Juha Nurminen, Mr Esa Hukkanen and other Finnish and Russian investors for a total consideration of approximately EUR 9 million. The consideration will be paid in cash and with a vendor note of EUR 1.5 million. Subject to certain conditions precedent being fulfilled, including acquisition financing being available to the buyer, the transaction is expected to be completed by the end of March 2011.
As a result of a strategic review undertaken during the second half of 2010, the conclusion was that Ruukki should focus its future activities on the Minerals Business and a process to sell the Wood Business assets was initiated. Subject to completion of the sale of the pallet business, and the previously announced sales of the house building business and sawmill business, Ruukki will have divested all its wood processing assets and will be a focused integrated mining and minerals producer supplying specialist products to the expanding steel and stainless steel industries.
Oplax Oy produces 1.5 million wooden loading pallets per year. Revenue in 2010 was EUR 11.2 million. The company had 43 employees on 31 December 2010.
RUUKKI GROUP PLC
Danko Koncar
Acting Managing Director
For additional information, please contact:
Ruukki Group Plc
Markus Kivimäki, Head of Corporate Affairs, +358 50 3495 687, markus.kivimaki@ruukkigroup.fi
Thomas Hoyer, CFO, +358 45 6700 491, thomas.hoyer@ruukkigroup.fi
Investec Bank Plc
Stephen Cooper, +44 (0)20 7597 5104, stephen.cooper@investec.com
RBC Capital Markets
Martin Eales, +44 (0)20 7653 4000, martin.eales@rbccm.com
Peter Barrett-Lennard, +44 (0)20 7653 4000, peter.barrett-lennard@rbccm.com
Ruukki Group is a natural resources company, with a mining and minerals business in southern Europe and South Africa. The Company is listed on NASDAQ OMX Helsinki (RUG1V) and the Main Market of the London Stock EXCHANGE (RKKI).
www.ruukkigroup.fi