The Storebrand Board of Directors recommends the offer from Sampo
Based on previous discussions, Storebrand has negotiated a proposed transaction with Sampo. Yesterday evening, the Board of Directors received a letter from DnB outlining a proposal for merger negotiations. It is the Board's opinion that there has not been any proposal received from DnB at this point that could have led to negotiations between DnB and Storebrand.
It is the Board's opinion that the proposed transaction with Sampo, as it is presented in the press release issued by Sampo, is strategically sound and builds on Storebrand's existing expertise and growth strategy in the savings market. For Norwegian customers the merger will improve the product offering and increase competition in the market. The Board would also emphasize that centres of excellence for the new entity will be established in Norway.
With regard to Storebrand's investment in If, it has been important for the Board that the proposed transaction with Sampo enhance If's Nordic strategy.
The Board considers the proposed offer from Sampo as attractive to the shareholders of Storebrand and consequently recommends the proposal to its shareholders. The representatives of the employees on the Board based on a comprehensive evaluation of the consequences for the employees, have given their support for the proposed transaction. Two of the Board Directors, Halvor Stenstadvold and Rune Bjerke, recognise that the offer from Sampo and the proposal from DnB are so different and difficult to compare, accordingly these Board Directors can not recommend either alternative at this point in time.
The Storebrand Board of Directors is of the opinion that the future co-operation between Storebrand and Sampo would benefit to the extent that as many as possible of Storebrand's current shareholders continue their ownership through Sampo.
Oslo, 21 May 2001
Board of Directors Storebrand ASA
Press conference will be held in Oslo at Felix Konferansesenter, Aker Brygge at 1:30 pm
Enquiries: <br>Leiv l. Nergaard, Chairman of the Board of Directors <br>Tel: 22 53 81 00 <br> <br>Idar Kreutzer, CEO <br>Tel: 22 31 50 50 <br> <br>Egil Thompson, Director Corporate Communications <br>Tel: 22 48 95 86 Mobile: 93 48 00 12 <br> <br>Storebrand is being advised by UBS Warburg. <br>Fondsfinans is engaged as Storebrand's Norwegian broker <br>In relation to the If agreement, Storebrand, Skandia, and If are being advised by Morgan Stanley <br>