Refinancing of Metro International S.A.
NOT FOR DISTRIBUTION IN THE UNITED STATES, CANADA OR JAPAN THESE MATERIALS ARE NOT AN OFFER FOR SALE OF METRO INTERNATIONAL S.A. SHARES IN THE UNITED STATES. METRO INTERNATIONAL SHARES MAY NOT BE SOLD IN THE UNITED STATES ABSENT REGISTRATION OR AN EXEMPTION FROM REGISTRATION UNDER THE U.S. SECURITIES ACT OF 1933, AS AMENDED. IT IS NOT INTENDED THAT ANY PORTION OF THE OFFERING WILL BE REGISTERED IN THE UNITED STATES OR THAT A PUBLIC OFFERING OF SHARES WILL BE CONDUCTED IN THE UNITED STATES. FOR IMMEDIATE RELEASE 10 June 2003 REFINANCING OF METRO INTERNATIONAL S.A. Industriförvaltnings AB Kinnevik ("Kinnevik"), today announced that it is to convert its total long-term interest-bearing loan to Metro International S.A. ("Metro") into Metro shares. Kinnevik is also fully underwriting a SEK 252 million rights issue by Metro. As part of the refinancing by Metro, Kinnevik will receive 47.1 million new Metro class A shares and 115.2 million new Metro class B shares at a price of SEK 3.75 per share in exchange for the retirement of SEK 609 million of the long-term interest-bearing loan to Metro, including interest accrued up to 31 May 2003. No interest will be charged on the loan to Metro for the period between 31 May 2003 and the completion of the transaction. Kinnevik, which is Metro's largest shareholder and creditor, is also fully underwriting a rights issue by Metro to raise SEK 252 million. Metro will issue rights to holders of its Swedish Depository Receipts, except those domiciled in the United States of America, Canada and Japan, to subscribe for one new class A share for each existing class A or B share held, at a price of SEK 2.30 per share. Shareholders' subscription rights will be tradable on Stockholmsbörsen. Kinnevik intends to subscribe for its share in the rights issue. Kinnevik is also providing short-term bridge financing to Metro on the same terms as its existing loan to Metro. The bridge financing will be repaid from the proceeds of the new issue of Metro shares. NOT FOR DISTRIBUTION IN THE UNITED STATES, CANADA OR JAPAN Metro will publish details of the offer in an offering prospectus expected to be published in mid-July 2003, with the offer period expected to commence in the second half of July 2003, and completion of the issue anticipated during the first half of August 2003. Kinnevik's total shareholding in Metro following the conversion of debt into equity will be 63.1 million class A shares and 116.1 million class B shares. The shares received in the conversion of debt to equity will not entitle Kinnevik to subscription rights in the offer. Kinnevik will also be eligible to receive subscription rights to 16.8 million new class A shares under the terms of the offer, based on its current holding of 16.0 million class A shares and 0.8 million class B shares. For further information, please contact: Vigo Carlund, CEO, Industriförvaltnings AB Kinnevik tel: +46 8 5620 0000 Henrik Persson, Investor & Press Relations tel: +44 20 7321 5010 Industriförvaltnings AB Kinnevik was established in 1936 as an investment holding company. The Company's objective is to increase shareholder value, primarily through net asset value growth. The business consists of operating companies such as farming company MSLA and paper and pulp producer Korsnäs AB, and a portfolio of long-term investments in a select number of listed companies such as Tele2 AB, Modern Times Group MTG AB, Millicom International Cellular S.A., Metro International S.A., Transcom WorldWide S.A. and Invik & Co. AB. Kinnevik plays an active role on the Boards of its subsidiaries and associated companies. Kinnevik's 'A' and 'B' shares are traded on the Stockholmsbörsen 'A- list'. ------------------------------------------------------------ This information was brought to you by Waymaker http://www.waymaker.net The following files are available for download: http://www.waymaker.net/bitonline/2003/08/26/20030826BIT00740/wkr0001.doc http://www.waymaker.net/bitonline/2003/08/26/20030826BIT00740/wkr0002.pdf