Sandvik's application for compulsory redemption of the remaining 3.56% of the shares in German Walter AG has now been approved.
The background is that the appeal submitted to the court opposing Sandvik's application for compulsory redemption has been withdrawn.
Following the compulsory redemption, Walter AG will be delisted from the stock exchange in Frankfurt. Delisting of Walter and payment for the minority shares is expected to be completed before the end of December 2005. Sandvik currently owns 96.44% of the shares in Walter AG.
Sandvik reached an agreement in autumn 2001 with the main owners of Walter covering acquisition of the majority of the shares in the company. Following approval of the German competition authorities in December 2001, the acquisition was initiated and Walter was consolidated as of February 25, 2002 within the Sandvik Tooling business area. In September 2002, a public offer was made to the other shareholders in Walter for all the shares outstanding in the company. At Walter's Annual General Meeting in June 2005, it was resolved to apply for compulsory redemption of the remaining shares.
Sandviken, 22 December 2005
Sandvik AB; (publ)