REPORT FROM ANNUAL GENERAL MEETING

At today’s Annual General Meeting of Höganäs AB, a dividend of SEK 10.00 per
share with 7 May 2012 as record date was resolved in accordance with the
proposal from the Board of Directors.

The present Directors Anders G
Carlberg, Alrik Danielson, Peter Gossas, Urban Jansson, Bengt Kjell, Jenny
Lindén Urnes, Björn Rosengren and Erik Urnes were re-elected. Anders G Carlberg
was re-elected as Chairman of the Board of Höganäs AB.

In accordance with the
proposal from the Election Committee, the Meeting resolved on Directors’ fees of
SEK 2,350,000, with the Chairman of the Board receiving SEK 500,000 and other
members elected by the Meeting but not employed by the group each receiving SEK
250,000, and the remaining SEK 350,000 payable as remuneration for committee
work with SEK 50,000 each to three external Board members in the company’s
Remuneration Committee and with SEK 100,000 to the chairman of the company’s
Audit Committee and with SEK 50,000 each to two external Board members of the
Audit Committee.

The Meeting re-elected the accounting firm KPMG AB, with
authorised public accountant Helene Willberg as auditor in charge, for the
period until the end of the Annual General Meeting 2013. It was also resolved
that the auditors shall be remunerated on current account.

The Meeting
approved the proposal from the Election Committee that the company shall have an
Election Committee comprising of one representative of each of the four largest
shareholders in terms of number of votes and the Chairman of the Board, being
convener.

The principles for remuneration and other employment terms for
senior executives were approved according to the proposal from the Board. The
principles are based on the principles previously applied for remuneration to
senior executives.

In accordance with the proposal from the Board, the
Meeting resolved to authorize the Board to resolve on transfer of class B
treasury shares to hedge against potential cash flow effects of social security
costs and cash redemption under the employee stock option plans adopted by the
Annual General Meetings in 2009.

At the subsequent statutory meeting of the
Board it was resolved to appoint a Remuneration Committee with Anders G
Carlberg, Bengt Kjell and Jenny Lindén Urnes as members and an Audit Committee
with Anders G Carlberg, Bengt Kjell and Erik Urnes as members.

Höganäs, 2 May
2012

THE BOARD OF DIRECTORS

This is information that Höganäs AB (publ) may
be obligated to make public according to the Swedish Securities Market Act
and/or the Financial Instruments Trading Act. The information was submitted for
publication at 17.00 pm on 2 May 2012.

Höganäs AB (publ) is the world’s leading producer of iron and metal powders.
Building on its clear vision of the possibilities of powder to improve
efficiency, the consumption of resources and environmental impact across a raft
of segments, the company has developed in-depth application skills.

Thus
Höganäs can help create the automotive components, white goods, water and
exhaust treatment products of the future in collaboration with its customers.
Founded in 1797, the company had sales of MSEK 7,081 in 2011, and is quoted on
NASDAQ OMX Stockholm’s Mid Cap List.

For more information, visit our website
www.hoganas.com