New Wave Group AB (publ) acquires the Frantextil-group
New Wave Group AB (publ) acquires the Frantextil-group New Wave Group has today acquired all the shares in Frantextil AB with the subsidiary Dahlin & Johansson AB ("D&J"). D&J is active as a whole seller and supplier of gifts and terry to distributors mainly in Sweden but also in Norway and Finland. The company, whose head office is situated in Borås, fits very well within New Waves business area Profile. During 2001, D&J had a turnover of approximately 58 MSEK with good profitability and the company has approximately 13 employees. New Wave will continue to carry out D&J's business in mainly the same manner, but will also develop and extend D&J's export business to the countries where New Wave is active. By doing this, New Wave hopes to be able to give D&J a large increase of its growth outside of Sweden. Frantextil, whose headoffice also is situated in Borås, is active as supplier of textiles and terry, mainly within Retail market but also within the Profile market to the largest extent within Sweden. New Wave intends to continue to develop the company within both these business areas. New Wave has previously been very successful in such development of both Retail and Profile, for example with regard to the trademark Clique for clothes and the trademark Sagaform for hard products and gifts. Frantextil had a turnover of approximately 56 MSEK during 2001 and was profitable. Frantextil has approximately 14 employees. New Wave has the opinion that there are good opportunities to create growth within Frantextil both inside and outside of Sweden. The Frantextil-group The total number of employees is approximately 27. During 2001 the group had a turnover of approximately 114 MSEK and showed a result before tax of approximately 6 MSEK. The group has slightly more than 26 MSEK in accounted capital of its own, of which approximately 25.5 MSEK is goodwill in the parent company from the earlier acquisition of D&J. It shall be stressed that large parts of the Frantextil-group's gaining capacity takes place during the fourth quarter. Conditions for the acquisition New Wave will pay 23,6 SEK as fixed purchase-sum, i.e. approximately 3 MSEK under the acquired companies accounted capital of their own. An additional purchase-sum, based on the result of the acquired companies for 2002 will furthermore be paid, should this result be at least 8 MSEK. Development during the fourth quarter of 2001 for New Wave Group New Wave's New Waves communiqué regarding the balancing of the books for 2001 will be announced 19 February 2002. The development during fourth quarter 2002 was significantly better than during the third quarter and should be characterised as good for the business area Profile and very good for the business area Retail. Prognosis 2002 for New Wave Group New Wave estimates that the result for the New Wave-group will continue to increase during 2002. Even if New Wave feels an uneasiness regarding the general state of the market, the development during the fourth quarter 2001 indicates that the trend on the market is once again positive. New Wave estimates that it will have a turnover of 1,7 Billion SEK, the turnover of the Frantextil-group included, 2002. Borås 14 January 2002 New Wave Group AB (publ) The Board For further information, please contact: Torsten Jansson CEO Telephone: +46 708-99 80 50, +46 33-22 58 55 Göran Härstedt Deputy CEO Telephone: +46 708-99 80 17, +46 33-22 58 63 ------------------------------------------------------------ This information was brought to you by Waymaker http://www.waymaker.net The following files are available for download: http://www.waymaker.net/bitonline/2002/01/14/20020114BIT00950/bit0001.doc http://www.waymaker.net/bitonline/2002/01/14/20020114BIT00950/bit0001.pdf