VKG subsidiary FMT Rör AB to acquire FMT Vent AB, conditional on creditors’ acceptance of composition plan
• VKG’s wholly owned subsidiary FMT Rör AB will acquire its former sister company FMT Vent AB.
• Financing is conditional on the creditors’ acceptance of a 50% debt composition in the ongoing reconstruction process in the Parent Company Värmekyl Grossisten Scandinavia AB.
• The acquisition will be financed by GTM Holding A/S via a loan against the pledge of all shares in FMT Vent AB. In the event that the above condition is not met, FMT Rör AB has the right to make payment for the loan by transferring the shares in FMT Vent AB to the GMT.
FMT Rör and Vent AB was founded in 1994 and in 1999 its operations were split into two separate companies. In May 2006 VKG acquired all of the shares in FMT Rör AB, but the two companies have continued to collaborate extensively despite having different owners and have conducted joint marketing under the name of FMT-Gruppen.
”It is a natural step for FMT Rör and FMT Vent to remerge”, says Ulf Svensson, President of FMT Rör AB. “The companies already conduct very closely related operations and neither the customers nor the employees will experience any change, although it will enable us to further enhance our total offering to the market. With the chosen financing arrangement, the acquisition and financing will not entail any financial risk for FMT Rör AB or the rest of the VKG Group”
Värmekyl Grossisten Scandinavia AB started a corporate reconstruction process on 24 January 2008. GTM Holding A/S has signed a guarantee to subscribe for a preferential rights issue and has guaranteed a later rights issue for the shareholders in VKG, conditional on the ordinary creditors’ acceptance of a 50% debt composition. The same conditions apply to financing of the acquisition. FMT Rör AB will not be affected by the ongoing reconstruction in the Parent company.
FMT Rör AB has around 45 employees and recorded annual sales of approximately SEK 63 million in 2007. FMT Vent AB has some 14 employees and had annual sales of around SEK 39 million for the broken financial year 2006/2007.
For more information contact:
Tom Ekevall Larsen
CEO
+46 (0)76 13 52 125