NCC to acquire Destia’s asphalt surfacing business – strengthens its position in Finland

NCC has signed an agreement concerning the acquisition of the asphalt surfacing business of the Finnish company Destia. The acquisition includes Destia’s asphalt manufacturing and paving operations, primarily in the infrastructure segment, and the company’s existing order backlog and workforce. The transaction is subject to the approval of the Finnish Competition Authority, FCA, and is expected to be completed during the first half of 2011.

Destia is a Finnish infrastructure and construction service company, wholly state-owned, which operates in Finland, northern Norway and northern Sweden. The acquired operations generated sales of approximately SEK 390 million in 2010 and have about 80 employees, who will be transferred as existing employees. The existing order backlog amounted to about SEK 765 million at year-end 2010.

“The acquisition is part of NCC’s strategy to become a leading player in the Finnish civil-engineering market. At the same time, we are strengthening our current market position in asphalt and paving as the second largest player in this area in Finland after the acquisition,” says Göran Landgren, President of NCC Roads.

“The divestment allows Destia to concentrate on improving its core business in line with the business strategy”, says Hannu Leinonen, President and CEO of Destia.

NCC Roads is the NCC business area that is active in the production of aggregates and asphalt, as well as asphalt paving and road services. In the Nordic market, NCC Roads is the leading player in the sector, in which Sweden is the single largest market. In 2010, NCC Roads generated sales of SEK 10.7 billion and had about 4,000 employees.

For more information, please contact:
Göran Landgren, President of NCC Roads +46 (0)705 950 730
Magnus Jonsson, External Communication and Media Relations Manager,  NCC AB, +46 (0)8 585 522 46, +46 (0)70 817 8711
NCC’s media line: 08-585 519 00, E-mail: press@ncc.se

This is the type of information that NCC could be obligated to disclose pursuant to the Securities Market Act. The information was issued for publication on March 24, 2011, at 12:15 p.m.

All of NCC’s press releases are available on www.ncc.se/en

NCC is one of the leading construction and property development companies in the Nordic region. In 2010, NCC had sales of SEK 49 billion, with 17,000 employees. NCC Roads’ core business is the production of aggregates and asphalt, as well as asphalt paving and road services.