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Reference is made to the detailed stock exchange announcement published by Kongsberg Gruppen ASA on 6 July 2018 regarding the acquisition of Rolls-Royce Commercial Marine and the rights issue to be conducted as part of the financing of the acquisition.
The rights issue will be dealt with at an extraordinary general meeting of the Company later this year, and is subject to approval by two thirds of the votes cast and of the share capital represented at the general meeting. The completion of the rights issue is accordingly dependent on the Norwegian Government, who owns 50.001% of the shares in the Company, votes in favor of the proposal from the board of directors.
The Norwegian Government announced on 6 July 2018 that it is positive to the Government participating with its relative share in the rights issue, subject to certain conditions, including consent of the Parliament. In the draft resolution included in Prop. 118 S (2017-2018), the Norwegian Ministry of Trade, Industry and Fisheries proposed that the ministry is given an authorization to participate pro rata in the rights issue, subject to certain conditions, so that the Government's percentage ownership in the company remains the same following the share capital increase. The Government's part of the share capital increase will be approximately NOK 2.5 billion.
The Norwegian Parliament has today approved that the Norwegian Government, represented by the Ministry of Trade, Industry and Fisheries, participates in the announced rights issue with the Government's pro rata share, provided that the terms of the share capital increase are acceptable and in line with market practice and that no new material information is disclosed in the period up until the general meeting that will vote on the share capital increase.
"We are very pleased that the parliament unanimously understands the strategical importance the acquisition of Rolls-Royce Commercial Marine will have for Kongsberg Gruppen and for the Norwegian maritime industry. The acquisition will significantly strengthen the business of the group and will be value creating for the shareholders of Kongsberg Gruppen over time," says Eivind Reiten, chairman of the board of directors of Kongsberg Gruppen.
"The acquisition of Rolls-Royce Commercial Marine is an important milestone that will enable us to be a more complete and a strategical important supplier in a global market with increasing competition. We are pleased that both the government and the parliament recognizes the business rationale and fully supports the share capital increase," says Geir Håøy, chief executive officer of Kongsberg Gruppen.
Further information regarding the rights issue will be provided in the notice for the extraordinary general meeting and in the prospectus that will be published prior to commencement of the subscription period.
For further information, please contact:
Ronny Lie, VP Corporate Communication, Kongsberg Gruppen ASA, Tel.: +47 916 10 798.
Jan Erik Hoff, VP Investor Relations, Kongsberg Gruppen ASA, Tel.: +47 991 11 916.
This announcement may not be distributed or sent into the United States or any other jurisdiction in which such distribution would be unlawful or would require registration or other measures. These materials are not an offer for sale of securities in the United States or any other country. The securities referred to herein have not been registered under the U.S. Securities Act of 1933, as amended (the "U.S. Securities Act"), and may not be sold in the United States absent registration or pursuant to an exemption from registration under the U.S. Securities Act. The Company does not intend to register any portion of the offering of the securities in the United States or to conduct a public offering of the securities in the United States.