Effnet conducts designated new issue

EFFNET CONDUCTS DESIGNATED NEW ISSUE The board of Effnet Group AB (publ) has on December 8, 1999 decided to conduct a new issue of 1,200,000 shares without preferential rights for existing shareholders. The decision was taken with authorisation given at the shareholders' meeting of October 14, 1999. The reason for the issue is to supply the company with the resources for continued expansion and to increase institutional ownership. The issue has been designated for a number of large Swedish and international investors. Approximately half of the newly issued shares have been placed with large international investors. The subscription price of SEK 316 per share was established through book-building. The issue will provide the company with approximately SEK 364 million after the deduction of issue costs. The new issue was significantly over-subscribed and was closed in advance. The designated new issue has been led by Hagströmer & Qviberg Fondkommission AB in co-operation with Nordberg Capital Inc. "The capital provided means that we can further increase the pace. We can now expand more quickly in both the USA and Europe and can vigorously market our unique technology and our products. Furthermore, Effnet gets a broader ownership with more institutional and international investors. This will offer us increased stability in negotiating with large international players," says Tomas Althén, CEO of Effnet Group. For further questions contact: Tomas Althén, CEO of Effnet Group AB (publ), Tel :+46 708 15 16 15 or Johan Unger, Hagströmer & Qviberg Fondkommission AB: +46 8 696 19 33. Effnet has 50 employees and is expanding rapidly. Research and development is currently based in Luleå. In 1998, the company opened a sales and marketing office in Boston, Massachusetts and an additional office in Stockholm, Sweden. The company's technology has been field tested and proven via a line of firewall products initially marketed exclusively in Sweden. Server-based, PCI add-on products based on Effnet's algorithm will become available in the United States in the coming months. Additional information about Effnet is available through the Web at www.effnet.com ------------------------------------------------------------ Please visit http://www.bit.se for further information The following files are available for download: http://www.bit.se/bitonline/1999/12/08/19991208BIT00310/bit0001.doc http://www.bit.se/bitonline/1999/12/08/19991208BIT00310/bit0002.pdf