Cloetta exercises option to redeem bonds early

As announced in July 2016 it is Cloetta AB (publ)’s intention to redeem its
outstanding SEK1,000 million senior secured bonds due 2018 (the “Bonds”) as part
of an overall refinancing of its existing debt financing. Cloetta has today
therefore given irrevocable notice to the holders of the Bonds that it has
exercised its option for the early redemption of the Bonds in full.
The date on which the redemption will occur will be 19 September 2016 (the
“Early Redemption Date”). The total outstanding amount of the Notes is
SEK1,000,000,000.

The Notes will be redeemed at an amount equal to the sum of:

(a)          103.00 per cent of the Nominal Amount (i.e., SEK1,030,000 per
SEK1,000,000 of Bonds held); and

(b)          accrued but unpaid interest, from, but excluding, the preceding
Interest Payment Date up to, and including, the Early Redemption Date (together,
the “Call Option Amount”).

The recorded date for holders of the Bonds subject to the early redemption shall
be 12 September 2016 and the last trading date to have a transaction registered
on such record date is 8 September 2016. In conjunction with the early
redemption, the Bonds will be delisted from the corporate bond list at NASDAQ
Stockholm.

The Bonds are being redeemed early in connection with Cloetta’s recent signing
of a new term and revolving facilities agreement with a group of four banks,
amounting in total to the equivalent of SEK 3,700m (the “Facilities Agreement”)
which will be partially used to refinance its existing bank financing. The new
financing package includes a bridge loan of SEK 1,000m which Cloetta will use to
fund the redemption of the Bonds. The Facilities Agreement, along with the
redemption of the Bonds, is expected, excluding one off expenses, to reduce the
group’s net financial items by approximately SEK 140m over a five year period,
whereof SEK 50m in 2017.

This information is information that Cloetta AB is obliged to make public
pursuant to the EU Market Abuse Regulation and the Securities Markets Act. The
information was submitted for publication, through the agency of the contact
person set out below, on 17 August 2016 at 08.00 CET a.m.
Media contact
Jacob Broberg, SVP Corporate Communications & Investor Relations, 46 70 190 00
33.
About Cloetta
Cloetta, founded in 1862, is a leading confectionary company in the Nordic
region, the Netherlands, and Italy. In total, Cloetta products are sold in more
than 50 countries worldwide. Cloetta owns some of the strongest brands on the
market, such as Läkerol, Cloetta, Jenkki, Kexchoklad, Malaco, Sportlife, Saila,
Red Band and Sperlari. Cloetta has 13 production units in six countries.
Cloetta’s class B-shares are traded on Nasdaq Stockholm. More information about
Cloetta is available on www.cloetta.com