Record numbers of employees buy shares in Veidekke
More than 1,800 employees recently acquired more than 1.4 million shares in Veidekke when they were given the opportunity to buy shares in the company. On average they bought shares valued at almost NOK 30,000 each. "This proves that the employees have great faith in Veidekke and that they recognise the value of owning shares in their own company. This time it is particularly pleasing that we have more than 600 new shareholders amongst our employees," says CEO Terje R. Venold.
Veidekke's employees are annually given the opportunity to purchase shares at a 20% discount on the market price upon agreeing to a lock-in period of two years. During the past five years an average of 890 employees have taken up the offer, so this year's result is more than double the usual number. The number of new shareholders (640) is also far higher than the average for the past five years (238).
"The fact that so many employees choose to invest in shares is obviously a boon to us. The high participation is also particularly gratifying in these times of such turbulence in financial markets. Veidekke has a long and proud history of employee ownership. It has been an important part of our company culture for almost 40 years. I am convinced that ownership is a strong motivation for many and that it increases commitment," says Venold.
"Most employees choose to hold onto their shares beyond the two year lock-in period and they view this as an opportunity to influence the company as well as a long term investment," concludes Terje R. Venold, Veidekke's President and CEO.
Following the conclusion of this year's sale of shares to Veidekke employees, 40% of the employees (2,670) own approximately 16% of the company. This represents shares worth more than NOK 1 billion based on the company's value of NOK 6.5 billion on the stock exchange.
For further information, please contact:
Terje R. Venold, President and CEO, tel. +47 21 05 77 01 / +47 905 82 323, terje.venold@veidekke.no
Christopher M. Bjerke, Acting CFO, tel. +47 21 05 80 13 / +47 995 81 802, christopher.bjerke@veidekke.no
Kai Krüger Henriksen, Executive Vice President, Communication, tel. +47 21 05 77 04 / +47 905 19 3 60, kai.henriksen@veidekke.no
Veidekke ASA is a leading Scandinavian building contractor and property developer with 6,750 employees and an annual turnover of NOK 16.4 billion (2006). Veidekke is listed on the Oslo Stock Exchange. It has a wide group of shareholders and 15% of the shares are held by the company's employees. The company's activities cover a large range of building and construction contracts, development of housing and commercial projects for private and public customers, asphalt operations and road maintenance, and collection and recycling of waste.