Industrivarden to Sell Its Subsidiary Isaberg Rapid.STOCKHOLM, Sweden -- Industrivarden has signed an agreement to sell its last remaining wholly owned operating subsidiary An operating subsidiary is a business term frequently used within the United States railroad industry. In the case of a railroad, it refers to a company that is a subsidiary but operates with its own identity and rolling stock. , Isaberg Rapid, to the private equity firm Segulah. The buyer is expected to take possession of the company in January 2007. Upon the sale, Industrivarden will have achieved its goal to work only as an active owner with a transparent portfolio of large and midcap mid·cap adj. 1. Or or relating to corporations whose retained earnings and outstanding shares of common stock have a value between those of small cap companies and large cap corporations. 2. listed Nordic companies. The purchase price amounts to more than SEK SEK In currencies, this is the abbreviation for the Swedish Krona. Notes: The currency market, also known as the Foreign Exchange market, is the largest financial market in the world, with a daily average volume of over US $1 trillion. 500 M, generating a capital gain of nearly SEK 100 M. Isaberg Rapid has been a wholly owned subsidiary Wholly Owned Subsidiary A subsidiary whose parent company owns 100% of its common stock. Notes: In other words, the parent company owns the company outright and there are no minority owners. of Industrivarden since 1992. During the last fifteen-year period, Industrivarden has helped develop Isaberg Rapid into a global player in stapling sta·pling n. The fastening together of two tissues with a staple or staples. stapling the use of staples as surgical sutures and fixation. for the office and tool markets. Isaberg Rapid is today Europe's leading company in stapling, with sales in 140 countries. During Industrivarden's ownership, sales have increased from approximately SEK 300 M to roughly SEK 1 billion today. Commenting on the deal, Anders Nyren, President and CEO (1) (Chief Executive Officer) The highest individual in command of an organization. Typically the president of the company, the CEO reports to the Chairman of the Board. of Industrivarden, said: "Isaberg Rapid is positioned today as a leading manufacturer of stapling products. How-ever, mounting price competition and changed distribution patterns put high demands on change. After completing strong structural and efficiency-improvement measures, Isa-berg Rapid is once again showing good profit growth. Against this background and the fact that Industrivarden's strategy is to work with active ownership in a transparent and concentrated equities portfolio in large and midcap listed Nordic companies, we are now selling our only remaining operating subsidiary." The sale is contingent upon Adj. 1. contingent upon - determined by conditions or circumstances that follow; "arms sales contingent on the approval of congress" contingent on, dependant on, dependant upon, dependent on, dependent upon, depending on, contingent approval from the competition authorities. Stockholm, December 13, 2006 AB INDUSTRIVARDEN (publ.) Industrivarden is a long-term industrial developer of public companies. For more information visit our website: www.industrivarden.net. This information was brought to you by Waymaker http://www.waymaker.net |
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