Sydkraft invests in new Danish energy trading company
SYDKRAFT INVESTS IN NEW DANISH ENERGY TRADING COMPANY Sydkraft and three major Danish companies are to form a Danish energy trading company. The three Danish companies are Köbenhavn Belysningsvesen (KB), SEAS Distribution (SEAS) and Nordvestsjellands Elförsyning (NVE), all based on the island of Sjaelland. Today, the Danish companies serve a total of more than one million customers and are active within the electricity, gas and district heating areas. The new company will commence operations at the beginning of 1999 and will open an office in Copenhagen. The four joint owners will each own 25 percent of the new energy trading company. As yet, no company name has been established. The company will conduct operations primarily in the Danish energy market but will expand later into the neighboring Nordic and Baltic Sea areas. The company will focus on the customers who will become free as Denmark deregulates its energy market. "Supported by its four owners, the company will be able to attract many new customers. The experience we have gained from both the deregulation of the Norwegian and Swedish markets and the market trend in recent years will be extremely useful," says Sydkraft's CEO, Lars Frithiof. "We believe that Sydkraft's expanding Services business sector could be a major resource for the new energy trading company. "Although a number of questions surround the new energy reforms in Denmark, the new company will fit in well in all respects and become a very strong player in the Öresund region, which has the strongest growth in entire Nordic area. This investment is part of Sydkraft's European strategy," says Frithiof. "Sydkraft's goal is that within a few years Sydkraft has established operations in five countries outside Sweden, namely in Denmark, Norway, Finland, Germany and Poland." For further information, please contact: Sydkraft's President and CEO, Lars Frithiof, tel: +46 (0)40-25 51 00, or Sydkraft's Vice President-Corporate Communications. Stieg Claesson, tel: +46 (0)40-25 55 02, or 070-515 55 02. Issued by: Sydkraft AB (publ) Corporate Information Department Stieg Claesson ------------------------------------------------------------ Please visit http://www.bit.se for further information The following files are available for download: http://www.bit.se/bitonline/1998/11/04/19981104BIT00010/bit0001.doc http://www.bit.se/bitonline/1998/11/04/19981104BIT00010/bit0002.pdf