Source: Harju Elekter

AS Harju Elekter sold its holding in AS Draka Keila Cables

Estonia, 2014-07-09 09:59 CEST (GLOBE NEWSWIRE) --

Today, on 9th of July 2014 AS Harju Elekter and Prysmian Finland Oy 
concluded a contract according to which AS Harju Elekter sells their 
34% holding in AS Draka Keila Cables to the core investor Prysmian Group. 
In the negotiations, the final price of the sales transaction was 
established at 6.2 million euros. According to the first semi-annual 
consolidated financial report of AS Harju Elekter, the value of AS Draka 
Keila Cables is estimated at 4.2 million euros. This means that the 
presumed profit from the transaction is 2.0 million euros, which will 
be written under finance income in the Group’s profit report for the 
third quarter. 
Selling the holding was a strategic decision of Harju Elekter Group, 
making it possible to put more focus on the management of the enterprises 
in its main activity area and the expansion to the field of electrical 
engineering, incl. financing the purchase of Finnkumu Oy, the largest
substation manufacturer in Finland. AS Harju Elekter is going to continue 
close cooperation with AS Draka Keila Cables in the procurements of low 
voltage and other cable products; similarly long-term rental contracts 
of production facilities are going to remain in force.
Harju Elekter is the leading MV/LV electrical and engineering devices 
producer in the Baltic States as well as well-known and respected in 
Scandinavia. Harju Elekter Group includes manufacturers of electrical 
equipment in Estonia, Finland and Lithuania: AS Harju Elekter 
Elektrotehnika (100%), Satmatic Oy (100%), Finnkumu Oy (100%) and 
Rifas UAB (63%), as well as the telecommunications products manufacturer 
AS Harju Elekter Teletehnika (100%) in Estonia. In addition, AS Harju 
Elekter has financial investments in the Latvian electrical equipment 
sales company SIA Energokomplekss (14%) and in the Finnish public listed 
company PKC Group Oyj (5%).

Prysmian Group is world leader in the energy and telecom cables and systems industry. With more than 130 years of experience, sales of €7 billion in 2013, about 19,000 employees across 50 countries and 91 plants, the Group is strongly positioned in high-tech markets and offers the widest range of products, services, technologies and know-how.

The transaction does not constitute a transaction between related parties within the meaning of NASDAQ OMX Tallinn’s Rules and Regulations. The management board and the supervisory board members of AS Harju Elekter are not personally interested in this transaction in any other way.  

Andres Allikmäe
Managing Director/CEO
+372 674 7400

Additional information: Andres Allikmäe, Managing Director of AS Harju Elekter; Endel Palla, Chairman of the Supervisory Board (+372 674 7400).

Prepared by:
Moonika Vetevool
Corporate communication and IR manager
+372 671 2761