Stora Enso finalises divestment of its merchant business Papyrus to Altor
STORA ENSO OYJ STOCK EXCHANGE RELEASE 30 April 2008 at 10.15 GMT
Stora Enso has finalised the divestment of its merchant business Papyrus to Altor Fund II as announced on 6 March 2008. The total enterprise value of the transaction was approximately EUR 640 million, including approximately EUR 490 million in cash. There will be no material gain or loss recorded in the second quarter of 2008 in connection with the transaction. Based on the balance sheet at 31 March 2008, the debt/equity ratio will decrease from 0.51 to 0.44. The final financial effects of this transaction on Stora Enso will be disclosed on 24 July 2008, when Stora Enso's second quarter 2008 results are released. Stora Enso divested Papyrus as part of its strategy of focusing the business portfolio of the Group. The divestment includes a long-term supply agreement with Papyrus, which will maintain Stora Enso's strong business relationship with Papyrus, while at the same time giving the Group independence in dealings with all of its important distribution channels. For further information, please contact: Kari Vainio, EVP, Corporate Communications, tel. +44 7799 348 197 Keith B Russell, SVP, Investor Relations, tel. +44 20 7121 0910 Ulla Paajanen-Sainio, Vice President, Investor Relations and Financial Communications, tel. +358 2046 21242 www.storaenso.com www.storaenso.com/investors About Papyrus: Papyrus, with net sales of EUR 2 006 million in 2007, is one of Europe's leading paper merchants. It supplies 1.9 million tonnes of paper annually. Papyrus currently has a presence in 22 European countries and employs 3 100 people. Its headquarters are in Mölndal, Sweden Papyrus is represented locally under its own brand name and also as Schneidersöhne, Sihl+Eika, Scaldia and Classen-Papier. Although Papyrus operates under different names, it has a coherent one-company commitment to offering quality products, high service levels and superior logistical solutions. About Altor: The Altor funds (Altor) are private equity funds comprising the Altor 2003 Fund, with committed capital of EUR 650 million, and the Altor Fund II, with committed capital of EUR 1 150 million. Altor is advised by Altor Equity Partners. Altor invests in medium-sized companies in the Nordic region with a focus on value creation through growth initiatives, strategic development and operational improvements. STORA ENSO OYJ p.p. Jussi Siitonen Jukka Marttila