Medivir Divests CCS to Segulah

Huddinge, SWEDEN

HUDDINGE, Sweden, June 18, 2003 (PRIMEZONE) -- Medivir and Segulah II L.P. announce the signing of a transfer agreement implying Segulah II L.P. acquiring Medivir subsidiary CCS, Clean Chemical Sweden AB and subsidiaries (CCS, Clean Care Sweden (U.K.) Ltd. and Nordic Care Sweden AB).

Commenting on the agreement, Lars Adlersson, Medivir's CEO and President, said: "The divestiture of CCS is a natural element of Medivir's strategy to create a world-leading research corporation in the protease and polymerase segment. We will now gain additional financial resources, and by sharpening our focus still further, we'll be able to enhance our research portfolio, and in the future, set up our own sales- and marketing organisation in the Nordic region. Additionally, CCS will gain very bright prospects of continuing its successful expansion."

Christian Sievert, Segulah's CEO, added: "CCS is a niche player with promising development prospects; we're looking forward to contributing to CCS' brisk onward progress and expansion as an active, committed principal owner."

CCS has been part of the Medivir group since 1995, achieving very healthy growth since this time. In 2002, CCS' consolidated turnover was SEK 156.4 m; its operating profit was SEK 22.4 m.

CCS' business concept is to develop, manufacture and market skin-care products and pharmaceuticals. CCS is currently represented in Sweden's National Pharmacy Corporation outlets, through ordinary retail goods as well as OTC (non-prescription) and prescription drugs. In additional, CCS' products are marketed through a UK subsidiary and distributors in other countries. Moreover, CCS markets products to the Swedish retail sector through its subsidiary Nordic Care Sweden.

During recent years, Medivir has accumulated a comprehensive research portfolio with four projects in clinical development phases and a wide array of projects in preclinical development. These efforts have been, and will remain, very resource-intensive. CCS brought Medivir preparation-related know-how, particularly coincident with Medivir's project ME-609 (an oral herpes cream). Medivir and CCS will continue collaborating in the future.

Because of the major developmental prospects facing CCS' sector, Medivir reached the conclusion that the initiatives and resources necessary to confer CCS with the optimal prospects of sustained expansion would be best provided under new ownership.

Rein Piir, Medivir's CFO, noted: "Medivir's view is that the resources for CCS' sustained focused expansion will be available through Segulahs' ownership."

Jonas Nilsson, CCS' CEO, added: "This change of ownership has been effected in a phase when CCS' secure positioning can progress favorably under Segulah's ownership."

The total purchase price is SEK 210 m, comprising a cash payment for the acquisition of CCS shares, and the take-over and immediate amortization of CCS' outstanding liabilities to Medivir. Ownership will transfer on 1 July 2003.

Hjalmarsson & Gunterberg Corporate Finance is Medivir's corporate advisor coincident with this transaction.

For more information, please contact:

Medivir: Rein Piir, CFO and VP, IR +46 (0)8 546 83123 or +46 (0)70 853 7292 Segulah: Christian Sievert, CEO, +46 (0)8 442 8950 or +46 (0)70 866 9694

The Medivir group

Medivir is an innovative, specialist research corporation that produces and develops pharmaceuticals. The company is located in Huddinge, Sweden and Cambridge, UK. Medivir's research is focused on developing new drug compounds based on proteases and polymerases as target enzymes.

Medivir has been quoted on the Stockholm Stock Exchange since 1996.

Medivir's research portfolio includes projects against HIV, jaundice, shingles, cold sores, osteoporosis, RA (rheumatoid arthritis), asthma and MS (multiple sclerosis).

More information on Medivir is available at its Website


Segulah is a private equity corporation whose business concept is to create value growth by owning and developing unlisted medium-sized enterprises. The primary means for this process are the Segulah I, L.P. and Segulah II, L. P. funds, whose exclusive adviser, and prime investor, is AB Segulah. Segulah provides the skills and experience necessary to secure robust progress through its specialist network of business advisers.

Segulah's portfolio companies include NVS (heating, water and sanitation installations), Callenberg (marine electronics), Norfoods (food industry ingredients), Mr. Music (entertainment products distributor) OTRE (medical technology). More information is available at


More information on CCS is available at its Website

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