TECNOTREE ISSUES PROFIT WARNING
Stock Exchange Release
April 25, 2018 at 19:50
Tecnotree Corporation’s Board of Directors has today decided to change the guidance for 2018.
Viking Acquisitions Corp. (“Viking”) has made a voluntary public cash tender offer to purchase all of the issued and outstanding shares in Tecnotree. The completion of the Tender Offer is subject to the valid tender of Tecnotree shares representing more than 90% of all the shares and voting rights in Tecnotree, together with any other Tecnotree shares acquired by Viking. As Viking did not exceed the 90% threshold by the end of the offer period, Viking decided to extend the offer period until 30 April 2018.
The uncertainty related to the completion and timetable of the tender offer is causing uncertainty among the customers and delay in order intake. The company may no longer achieve the revenue and operational result set out in the current guidance for 2018 and it has become difficult to estimate the revenue and operational result.
In the financial report published on 5 March 2018 the company gave following outlook for 2018:
“The company strengthened and stabilised its operations in 2017 and will in 2018 focus on profitable growth. The company continues with the efforts to improve its financial position and with the search for new financing.
The company estimates that its revenue in 2018 will be at the same level than in 2017 and that the operational profitability (Operating result) will be better than the adjusted operating result in 2017. In 2017 the company’s revenue amounted to EUR 55.1 million and the adjusted operating result to EUR 9.8 million.”
The company is unable to provide any guidance for 2018.
The Board of Directors
Padma Ravichander, CEO, tel +97 156 414 1420
Kirsti Parvi, CFO, tel +358 50 5174569
Tecnotree is a global provider of IT solutions for the management of services, products, customers and revenue for Communications Service Providers. Tecnotree helps customers to monetise and transform their business towards a marketplace of digital services. Together with its customers, Tecnotree empowers people to self-serve, engage and take control of their own digital life.
Tecnotree is listed on Nasdaq Helsinki (TEM1V). For more information, please visit