15:30 London, 17:30 Helsinki, May 20, 2019 - Afarak Group Plc ("Afarak" or "the Company")
CONVERSION OF AFARAK INTO A EUROPEAN COMPANY
The Board of Directors of Afarak Group Plc (“Afarak”) proposes the conversion of Afarak into a European company
The Board of Directors of Afarak decided in its meeting held today to propose the conversion of Afarak into a European company (Societas Europaea, SE) to the general meeting.
The reasons for conversion into an SE are strategic. Because Afarak is a multinational company with operational functions in several different countries, conversion into an SE brings Afarak the flexibility it needs. The Company also seeks the benefits of the specific legislation applied to SEs.
For Afarak, setting up an SE means conversion of the company into an SE, with the company name changing into Afarak Group SE. The Board of Directors of the company has drawn up draft terms of conversion dated 17 May 2019 and a report which will be registered and publicised as laid down in Finnish law.
The final decision on the conversion into an SE will be made by the general meeting, which can be convened at the earliest one month after the draft terms of conversion have been publicised in the Trade Register.
The special negotiating body will negotiate on the involvement of employees in the SE before the conversion can be registered. This being the case, the most likely time for the conversion is the end of the year 2019 according to the current estimate.
Conversion into an SE does not affect the company’s domicile, location of the head office or the employees’ employment contracts. The role of shareholders will also remain unchanged.
The Board of Directors
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Financial reports and other investor information are available on the Company's website: www.afarak.com.
Afarak Group is a specialist alloy producer focused on delivering sustainable growth with a Speciality Alloys business in southern Europe and a FerroAlloys business in South Africa. The Company is listed on NASDAQ Helsinki (AFAGR) and the Main Market of the London Stock Exchange (AFRK).
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