NEO INDUSTRIAL PLC STOCK EXCHANGE RELEASE 15 OCTOBER 2018 at 5:00 PM
Neo Industrial: Reka Cables’ co-determination negotiations resulted in reduction of 18 employees
The co-determination negotiations of Neo Industrial Plc's subsidiary Reka Cables Ltd. have ended. As a part of the business development program, co-determination negotiations resulted in the termination of employment of totally 18 employees at the company's locations in Hyvinkää, Riihimäki and Keuruu. In addition, the ending of fixed-term employment contracts and the retirement plans scheduled for next year will reduce the company's wage costs from next year onwards.
The cost savings from the personnel reductions will be approximately EUR 0.7 million next year.
As part of the business development program, Reka Cables invests in sales development. The company improves its presence on the market by reorganizing domestic sales and establishing two new regional sales offices. At present, domestic sales is centralized at Hyvinkää. Reka Cables is also increasingly investing in product development and launching new products in the near future.
Hyvinkää, 15 October 2018
Neo Industrial Plc
Ralf Sohlström
Managing Director
Further information:
Ralf Sohlström, Managing Director, tel. +358 40 770 2720
Neo Industrial's strategy is to invest mainly in industrial companies with similar synergic benefits. The aim of investments is with active ownership to develop the purchased companies and establish additional value. Returns are sought through both dividend flow and an increase in value. Neo Industrial's class B shares are listed on the main list of NASDAQ Helsinki Stock Exchange. Neo Industrial's business segment is Cable Industry.