OSLO, Norway, July 24, 2003 (PRIMEZONE) -- Hydro Pronova today entered into an agreement with a financial consortium consisting of the equity investors HealthCap and Investor Growth Capital, concerning the divestment of its Swedish subsidiary, Carmeda AB. The cash proceeds for Hydro from the sale will be around SEK 180 million after deduction of sales costs and minority interests. In addition, Hydro will receive royalties on a certain share of Carmeda's future sales revenues. The divestment will result in an estimated gain of around NOK 120 million that is expected to be included in the third quarter results for 2003.
Carmeda develops, produces and markets biologically active biocompatible surfaces for disposable medical devices and implants, mainly in the fields of cardiology, cardiac surgery and vascular surgery. Carmeda is cooperating with world leading companies, such as Johnson & Johnson / Cordis for intravascular stents, Medtronic for coronary bypass circuits and W.L. Gore & Associates for vascular grafts. The company has 40 employees and is based in Stockholm.
Hydro Pronova AS is a fully owned subsidiary of Norsk Hydro ASA (NYSE:NHY)with the reponsibility for projects and business activities in the periphery of Hydro's core activities. This divestment is in line with Hydro's strategy of focusing on its core activities, and the purchasing consortium has a strategic focus on the field in which Carmeda operates. Hydro therefore believes that Carmeda will be better positioned to realise its full potential under the new ownership.
Norsk Hydro ASA Bygdoey alle 2 N-0240 Oslo Norway Telephone: (+47) 22 53 81 00 Fax: (+47) 22 53 27 25 www.hydro.com
Certain statements in this press release are or may constitute "forward-looking" statements within the meaning of the Private Securities Litigation Reform Act of 1995. Statements that are not in the nature of historical facts may be deemed to be forward-looking statements and may contain identifying words such as "believes", "anticipates", "plans", "expects" and similar expressions. These forward looking statements are based on Hydro's current expectations, assumptions, estimates and projections about the company and the industries in which it engages in business. All forward-looking statements involve risks and uncertainties. For a detailed description of factors that could cause Hydro's actual results to differ materially from those expressed in or implied by such statements, please refer to its annual report on Form 20-F for the year-ended December 31, 2002 and subsequent filings on Form 6-K with the U.S. Securities and Exchange Commission. With respect to each non-GAAP financial measure Hydro uses in connection with its financial reporting and other public communications, Hydro provides a presentation of what Hydro believes to be the most directly comparable GAAP financial measure and a reconciliation between the non-GAAP and GAAP measures. This information can be found in Hydro's earnings press releases, quarterly reports and other written communications, all of which have been posted to Hydro's website (www.hydro.com).
Contact Kjetil Bakken Tor Steinum Telephone +47 22 53 23 13 (+47) 22 53 27 31 Cellular +47 91 889 889 (+47) 95 08 39 33 E-mail kjetil.bakken@hydro.com Tor.Steinum@hydro.com