Lagercrantz Group acquires Direktronik AB.

Lagercrantz Group AB has today concluded an agreement to acquire all shares outstanding in Direktronik AB.

Direktronik is a value-adding importer and reseller of hardware for data and network communication. The company’s business concept is to offer a niched line of products combined with high technical competence and superior service. Direktronik has also achieved success with its in-house developed products for broadband access. The company directs its attention towards a customer group comprised mainly of Swedish companies, to which its full-line catalogue is distributed annually. Direktronik AB had sales during the 2005/06 financial year (September – August) of approximately MSEK 46 with a profit margin before taxes of about 9 percent. Direktronik is today a family-owned company and the current owners will remain in the company after the acquisition.

Jörgen Wigh, President & CEO of Lagercrantz Group comments on the acquisition:
”Direktronik AB is a profitable and interesting addition to Lagercrantz Group. We feel that the company has excellent prospects for continued expansion, in Sweden as well as in the neighbouring Nordic countries. The company has a clear niche focus in its product line and a very strong position among its customers, based on long-term customer focus and superior service.”

Mats Backlund, VD and part-owner of Direktronik:
”We are proud and happy that Lagercrantz has become aware of our success in recent years. I am convinced that we will be able to maximise our potential by becoming a part of the Lagercrantz family. With the addition of Lagercrantz’s long experience and knowledge of Nordic industry, Direktronik AB improves its prospects for growth in our home market, but also in the rest of the Nordic Region.”

The acquisition is expected to provide a positive contribution to earnings per share during the 2007/08 financial year. Closing is expected to take place in April 2007. Direktronik will be a part of division Communications.

Stockholm, 26 March 2007

Lagercrantz Group AB (publ)