Veidekke ASA: To acquire Tore Løkke AS

Veidekke Entreprenør AS has signed a letter of intent to acquire 80% of the shares of civil engineering contractor Tore Løkke AS in Åfjord at Fosen in Sør-Trøndelag. "Veidekke wants to grow in the civil engineering market, and the acquisition will strengthen our competitive strength in transport and energy developments," says district manager Stein Bjøru with Veidekke Entreprenør.

Civil engineering contractor Tore Løkke AS has 78 employees, turnover of NOK 200 million (2014) and contracts all over the country.

"Tore Løkke AS is a sound and well-run contractor. The company has delivered good results for a long time, and has operated for 48 years without losses. Løkke has good expertise in operation with own employees and a large and modern fleet of machinery. In terms of corporate culture and values we also see that the company and employees will make an excellent match for Veidekke. Now we are looking forward to welcoming Løkke's skilled workers and officials to becoming a part of our civil engineering operations," Bjøru concludes.

"We are happy to become a part of the Veidekke Group. We recognize that we need the backing of a robust and competent contractor in order to take on the constantly larger contracts in the Norwegian civil engineering market. I am also concerned that we continue to develop, and I am confident that we will achieve this with Veidekke as owners," says general manager Tore Løkke of Tore Løkke AS.

Tore Løkke (69) will stay on as head of the company. It is expected that the final agreement will be signed in the course of December, subject to approval by the Competition Authority.

Caption: District manager Stein Bjøru (left) and general manager Tore Løkke look forward to teaming up.

For press photos, see www.flickr.com/photos/veidekke, for more information, contact:
District manager Stein Bjøru of Veidekke Entreprenør, tel +47 95 02 05 60, stein.bjoru@veidekke.no
General manager Tore Løkke of Tore Løkke AS, tel. +47 90 92 10 55, tore@lokke.com
Communications Manager Helge Dieset, tel. +47 90 55 33 22, helge.dieset@veidekke.no

 

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Veidekke is one of Scandinavia's largest construction and property development companies. The company undertakes all types of construction and civil engineering contracts, maintains roads, and produces asphalt and aggregates. The company is characterised by involvement and local knowledge. Revenue is NOK 24 billion (2014), and half of the 6,400 employees own shares in the company. Veidekke is listed on the Oslo Stock Exchange and has always posted a profit since it was founded in 1936.

This information is subject of the disclosure requirements pursuant to section 5-12 of the Norwegian Securities Trading Act.