The Board of Directors of Cavotec SA ("Cavotec" or the "Company") has reached an agreement with Bure Equity AB ("Bure") regarding a directed share issue (by way of subscription of authorized capital) of 7,138,780 new shares, corresponding to approx. 9.9% of the total number of shares outstanding. The subscription price is set at SEK 26.50 per share and the net proceeds, after deduction of stamp duty and transaction costs, will amount to approx. SEK 187 million (approx. EUR 20 million).
Today's announcement follows the decision taken by the Ordinary General Meeting in April 2014, where the Board of Directors was authorized to increase the share capital in an amount not to exceed CHF 20,419,604.92 through the issuance of up to 14,279,444 fully paid registered shares with a par value of CHF 1.43 per share, inter alia for the purpose of broadening the shareholder constituency in connection with the participation of a strategic partner. The transaction will increase Cavotec's issued share capital by CHF 10,208,455 (approx. EUR 8.5 million) and will be completed before the end of September 2014.
"The Board believes that Bure will be a great strategic partner to Cavotec with their extensive experience of active ownership, value adding senior advice and track-record of realising the potential in innovative companies," says Cavotec founder and Chairman, Stefan Widegren.
"We are pleased by the opportunity, as owners, to take an active part in further developing Cavotec. The investment is well in line with Bure's focus on companies with untapped potential and we see great opportunities especially within the MoorMasterTM segment," says Patrik Tigerschiöld, Chairman of Bure.
As part of the agreement, Bure will propose one member of the Board of Directors. In order to enable the shareholders to elect a new member of the Board of Directors, the Company will convene an Extraordinary General Meeting in Stockholm in November. A formal notice will be issued and published before the meetings.
For further details please contact:
Michael Scheepers, Director Investor Relations & Corporate Communications
+41795024010 or email@example.com
Cavotec is a leading global engineering group, developing innovative technologies that enable the maritime, airports, mining and tunnelling, and general industry sectors to operate productively and sustainably.