In accordance with intentions announced on April 11 this year, Bilia has conducted negotiations with the owners of Scaniadam and has today signed an agreement for the purchase of all the shares in Scaniadam A/S and Selandia Motor Company A/S. The companies will be acquired as of January 1, 2005.
The agreement also contains an option within a period of 5 years to acquire Scaniadam’s properties at a price marginally in excess of their book value. In the case that the option is not taken up, Bilia has undertaken to enter into a rental agreement stretching over a ten -year period.
The acquisition of Scaniadam provides Bilia with the opportunity of gaining the benefits of greater scale and increased efficiency in their operations, to the advantage of both Scaniadam’s and Bilia’s customers. With this acquisition, Bilia has become Denmark’s largest dealer in private cars and is taking a further step towards its goal – of being the best service company in the car trade.
Göteborg June 22, 2005
Bilia AB (publ)
For further information, please contact Jan Pettersson, Managing Director and CEO, or Gunnar Blomkvist, CFO,
telephone +46 31 709 55 00.
