Tallinn, Estonia, 2014-12-22 16:05 CET (GLOBE NEWSWIRE) --
AS Merko Ehitus continues to implement the activity plan announced in the beginning of 2014 to make changes in the structure of the group companies for the purpose of more effective management and saving on the administrative costs. As part of the activity plan, holdings in non-significant subsidiaries will be reviewed and possible restructurings, acquisitions or transfers of companies will be decided. The activity plan will not affect the significant subsidiaries, nor will they have a significant effect on the group’s financial results.
On 22 December 2014, AS Merko Ehitus initiated a process to merge its fully owned subsidiaries OÜ Metsailu, OÜ Ringtee Tehnopark, OÜ Maryplus and OÜ Constancia, all engaged in real estate development, in order to produce administrative cost savings related to company management. The acquiring company will be OÜ Metsailu. The companies being acquired will be merged into OÜ Metsailu and as a result of the merger the companies being acquired will wind up without liquidation proceedings and OÜ Metsailu will become the legal successor of the companies being acquired. As a result of the merger, AS Merko Ehitus will remain the sole shareholder in OÜ Metsailu, the acquiring company. The closing date of the merger is 1 January 2015 after which all transactions of the acquirees will have been deemed to have been made on account of the acquirer. The final merger entry is expected to be made in the Commercial Register during the first half of 2015. The said transaction will have no impact on the consolidated profit or assets and liabilities of the AS Merko Ehitus group.
Additional information: AS Merko Ehitus, Group CFO, Mrs. Signe Kukin, phone: +372 650 1250.
Merit Kullasepp
Communication and Marketing Manager
AS Merko Ehitus
Phone: +372 650 1250
E-mail: merit.kullasepp@merko.ee
AS Merko Ehitus (group.merko.ee) comprises the leading Estonian construction company AS Merko Ehitus Eesti, the Latvian market based SIA Merks and the Lithuanian market based UAB Merko Statyba as well as the group’s real estate development business unit together with companies holding real estate properties. As at the end of 2013, the group employed 860 people and the 2013 revenue amounted to EUR 262.7 million.