STOCKHOLM, Sweden, Aug. 28, 2002 (PRIMEZONE) -- On August 21, the Board of Sapa issued a recommendation following Elkem's public offer. In the absence of support from the company's leading shareholders not to tender their shares, the Board had little alternative but to reluctantly advise Sapa's shareholders to accept Elkem's offer. This, despite the fact that Elkem's offer of SEK 175 per share was deemed to undervalue the company's long term prospects. The Board gave particular consideration to the exposed position of the smaller shareholders were they to be left with a less liquid shareholding with negative effects for efficient trading and pricing of the share.
Since then the Board has noted with interest the statements issued by Aktiespararna, the Swedish Shareholders' Association on Tuesday, 26th August and subsequently by AMF Pension and Investment AB Oresund. These statements combined clearly indicate that a significant body of Sapa's shareholders have now decided, or have been advised, not to tender their shares on the basis that Elkem's offer insufficiently reflects the fair value of Sapa.
Accordingly, the Board of Sapa has been able to reconsider the position it adopted on 21st August and today has resolved that in the light of these new developments, it should recommend shareholders not to accept Elkem's offer.
The Board informs of the possibility to withdraw an acceptance up until 2 September at 3.00 p.m. (CET). Sapa invites to pressinformation with Chairman of the Board Per-Olof Eriksson and CEO Staffan Bohman at Sapa's head office on Humlegardsgatan 17, at 11.30 today.
For further information please contact Chairman of the Board, Per-Olof Eriksson or Staffan Bohman, President and CEO, +46-8-459 59 11.
Sapa is an international industrial group, which develops and markets value-added aluminium profiles, profile-based components and systems, and heat exchanger strip in aluminium. Sapa has an annual turnover of approximately 12 billion SEK, with 6,600 employees all over Europe and in USA and China. Sapa is one of Europe's leading companies within its field and the customers are found in the transport, building, engineering and telecom industries. Sapa is listed on the A-list of Stockholmsborsen.
Further information about Sapa can be found on our web site www.sapagroup.com
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