Corporate | 20 November 2015 12:33
Ekotechnika AG publishes preliminary 2014/15 figures and announces commencement of acquisition period for new shares
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DGAP-News: Ekotechnika GmbH / Key word(s): Preliminary Results/Capital Reorganisation
– Sales and earnings above target according to restructuring report
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Preliminary EBIT of EUR -1 million, net loss for year at approximately EUR 25
– Publication of acquisition offer for new shares in the Federal Gazette – Acquisition period to run from 23 November to 9 December – Shares expected to be admitted to trading on 17 December
The decline in sales reflects the continuing challenging situation in the Russian farming equipment market as well as the massive rise in local financing cost. In addition, the substantial decline in the rouble/euro exchange rate continues to a play a role. Earnings before interest and taxes (EBIT) came in at approximately EUR -1 million, which was down on the previous year’s figure of EUR 1.9 million but above the budgeted level of EUR -8.6 million. The preliminary figures show a consolidated net loss at around EUR -25 million compared to EUR -27 million in the previous year (budgeted: EUR -28.7 million). This result includes exchange rate losses of around EUR 16 million as well as restructuring costs of around EUR 2 million. The consolidated equity position, which was negative at the balance sheet date, has improved by some EUR 70 million as a result of the 31 October 2015 debt-to-equity swap for the Ekotechnika bond as well as the completed cash capital increase. The company envisages publishing its full consolidated financial statements for the 2014/15 period in February 2016. Stefan Dürr, main shareholder and CEO of Ekotechnika AG, said: “The economic situation in Russia means that trading conditions for the distribution of international farming equipment remain challenging. Even so, the company performed ahead of plan in the financial year not least thanks to strong business activity on the spare parts side which, adjusted for the devaluation of the rouble, grew by almost one third. The potential for high-quality international farming equipment in Russia remains high but local farmers obviously need access to financing at sensible terms in order for this potential to be realised.” Start of acquisition period for new Ekotechnika shares (Series A) on 23 November 2015
Today, Friday, 20 November 2015, Ekotechnika AG is going to publish the acquisition offer for new Series A shares in the Federal Gazette and on the company’s website. From next Monday,
Upon commencement of the acquisition period, the bondholders will receive a letter from their custodian bank. On this basis they will be able to exercise their acquisition right and receive Ekotechnika shares. During the acquisition period, they can submit bids for the acquisition of additional shares. Details will be discussed in the letter from the custodian bank as well as in the acquisition offer. Any acquisition of Ekotechnika shares will be exclusively subject to the securities prospectus for the public offering of new Series A shares of Ekotechnika AG as published on the Ekotechnika AG website at www.ekotechnika.de/de/investor-relations.html. Bondholders who fail to exercise their acquisition right at all or within the deadline will receive a cash settlement. At this point in time the company is unable to specify the amount of the expected cash settlement. The amount will depend on the price at which the unsubscribed shares will eventually be sold. The new shares are scheduled to be delivered on 16 December 2015. The Ekotechnika shares will then presumably be admitted to trading on the primary market of the Düsseldorf Stock Exchange on 17 December 2015.
Additional information on the restructuring as well as the acquisition offer and the securities prospectus approved by the Federal Financial Supervisory Authority is available on the Ekotechnika website at www.ekotechnika.de/de/investor-relations.html.
About Ekotechnika Walldorf-based Ekotechnika AG is the German holding company of the Ekoniva-Technika Group, the largest distributor of agriculture equipment in Russia. The company’s single most important supplier is John Deere & Co., the world’s leading manufacturer in this field. In addition, Ekotechnika sells equipment from another 11 market-leading manufacturers. Its main business is in selling new equipment such as tractors but also milking equipment and precision farming technology. In addition, the company sells spare parts and provides service and maintenance. Ekotechnika’s founder and board member is Stefan Dürr, who has been active in the Russian farming sector since the late eighties and has been instrumental in its modernisation over the past two decades. In 2011 the equipment business was separated from the farming business, which now operates independently under the name Ekosem-Agrar. Operating 12 locations in attractive Russian farming regions, Ekotechnika today employs around 545 people and generates sales of EUR 171 million in 2013/2014.
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2015-11-20 Dissemination of a Corporate News, transmitted by DGAP – a service of EQS Group AG. The issuer is solely responsible for the content of this announcement. The DGAP Distribution Services include Regulatory Announcements, Financial/Corporate News and Press Releases. Media archive at www.dgap-medientreff.de and www.dgap.de |
| Language: | English | |
| Company: | Ekotechnika GmbH | |
| Johann-Jakob-Astor-Str. 49 | ||
| 69190 Walldorf | ||
| Germany | ||
| Phone: | +49 (0) 6227 3 58 59 60 | |
| E-mail: | info@ekotechnika.de | |
| Internet: | www.ekotechnika.de | |
| ISIN: | DE000A1R1A18 | |
| WKN: | A1R1A1 | |
| Listed: | Regulated Unofficial Market in Berlin, Dusseldorf, Hamburg, Hanover, Munich, Stuttgart (bondm); Open Market in Frankfurt | |
| End of News | DGAP News Service |
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415125 2015-11-20
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