The supervisory council of Nordecon AS decided on its meeting held on 14 October 2016 to approve the proposal made by the management board to merge Järva Teed AS and Hiiu Teed OÜ (both 100% subsidiaries owned by Nordecon AS), and the road maintenance and machinery division of Nordecon AS with the aim to consolidate the management of road maintenance, heavy machinery and mining business segments.
As a result, many doubling functions within the group will be abolished and the management structure as well as scopes of responsibility will be more clearly established. In addition to optimised structure, internal procedures and quality control systems will be harmonised, increasing thereby the productivity and improving general competitiveness of the group. The merger of different support functions results in cost savings as well.
The merged company continues to operate in all the existing business segments, the main ones being road maintenance and construction, land improvement, road surface dressing, mining, manufacturing of traffic management means and rental of heavy equipment.
All the procedures required by the merger process will be carried out during 2016.
Nordecon (www.nordecon.com) is a group of construction companies whose core business is construction project management and general contracting in the buildings and infrastructures segment. Geographically the Group operates in Estonia, Ukraine, Finland and Sweden. The parent of the Group is Nordecon AS, a company registered and located in Tallinn, Estonia. In addition to the parent company, there are more than 10 subsidiaries in the Group. The consolidated revenue of the Group in 2015 was 145.5 million euros. Currently Nordecon Group employs close to 700 people. Since 18 May 2006 the company's shares have been quoted in the main list of the NASDAQ OMX Tallinn Stock Exchange.
Andri Hõbemägi
Nordecon AS
Head of Investor Relations
Tel: +372 6272 022
E-mail: andri.hobemagi@nordecon.com
www.nordecon.com