Kolo Veidekke signs agreement with Litra Grus: Amalgamates Crushed Stone Operations in the Mjøsa AreaVeidekke's subsidiary, Kolo Veidekke a.s, has reached an agreement with Litra Grus AS, Lillehammer, to merge the two companies' stone-crushing operations in the Mjøsa area. A merger of the operations will give considerable operational advantages.
Kolo Veidekke's activities in Åndalen, Redalen and Lillehammer, and the company's shares in Hamar Pukk og Grus AS, will be transferred to Litra Grus in return for shares in Litra Grus AS. The merged company will keep the name Litra Grus AS and will be managed from Lillehammer. Kolo Veidekke will hold 47% and Litra Grus 53% of the shares in the new company.
After the merger, Litra Grus AS will have a total annual production of 700,000-800,000 tonnes of gravel and crushed stone products and an annual turnover in the region of NOK 45-50 million.
"One of the criteria for our success is the coordination of production entities for crushed stone, gravel and asphalt," says Mr. Vidar Aarvold, Managing Director of Kolo Veidekke a.s. "By merging our operations with those of Litra Grus, we will achieve this and also strengthen our traditional operations in the Mjøsa area," he adds.
The share issue is conditional on the approval of the General Meeting of Litra Grus AS. The merger is thus expected to take place before the end of this year.
For further information, please contact:
Managing Director Per Chr. Harildstad, Litra Grus AS,
tel. +47 61 26 66 66, mobile +47 918 80 328
Managing Director Vidar Aarvold, Kolo Veidekke a.s,
tel. +47 21 05 76 41, mobile +47 905 53 383