Gränges expanding in France

Gränges expanding in France Gränges has reached an agreement to acquire one of the largest independent extrusions companies in France, Intexalu, and the related building systems company Aluvar (later on referred to as "Intexalu"). Both companies are today owned by consortiums led by Schroders Ventures. The acquisition will be part of Gränges' business area Extrusions (Sapa), the 3 rd largest extrusion company in Europe. The acquisition will be effective as of January 1,1999. Intexalu - one of the leading suppliers in France Intexalu, founded in the 1970s, is one of the larger suppliers of extrusions in the French market. The group, based outside Cannes, has a turnover around SEK 900 million and employs approximately 500 persons. Intexalu delivered 24,000 tonnes of aluminium extrusions during 1998 and has a market share in France of 9 percent. Intexalu is a complete supplier ranging from presses, anodizing, painting to remelting plants. The company is well managed and has grown considerably over the last years with satisfactory margins. Second press in Sapa France, Albi Sapa has been present in France since 1993. Sapa France, located at Albi 70 km north of Tolouse, has achieved continuous growth with good profitability over the years. Sapa has today one press in Albi and also provides painting services through its company Lacal. Decision has been taken to take the first step towards the installation of a second press line, which enables Sapa France to offer a wider choice of profiles to its customers. Gränges' strategy to expand into France "Gränges has a clear ambition to expand within high value-added aluminium extrusions. The acquisition, together with the investment in Sapa France, give Gränges via Sapa a broader market presence. This will strengthen Sapa's position as one of Europe's leading suppliers of aluminium extrusions," states Claes-R. Simonson, responsible for Sapa, Gränges' business area Extrusions. "We will, through these investments, take a big step towards being a major supplier in southern Europe." After the acquisition Sapa will have a market share of 12 percent in France. Sapa thereby becomes the third largest extrusion company in France. The acquisition is estimated to positively affect profit per share already for 1999. The two parties have agreed not to disclose the purchase price. The acquisition will result in a goodwill of around SEK 100 million. For further information please contact Claes-R. Simonson, Business Area Manager Extrusions (Sapa), tel +46 8 459 59 14, Fredrik Rystedt, Vice President Business Development, tel 070-759 59 27 or Cecilia Lager, Vice President Investor Relations & Communications, tel +46 8 459 59 41. Gränges is an international industrial group focused on value-added products based on aluminium and plastics. The products range from extrusions, heat transfer material and foil to components and systems in plastics to the transport industry. The group is one of Europe leading companies within its field with customers in the transport, engineering, construction and packaging industries. Gränges is quoted on the OM Stockholm Exchange "O-list". Visit Gränges web site on the Internet: www.graenges.se ------------------------------------------------------------ Please visit http://www.bit.se for further information The following files are available for download: http://www.bit.se/bitonline/1999/01/12/19990112BIT00030/bit0001.doc http://www.bit.se/bitonline/1999/01/12/19990112BIT00030/bit0002.pdf

Subscribe