Sandvik acquires additional shares and makes an offer for Trustor's shares in Kanthal
On 9 June 1997, Sandvik AB acquired an additional 1,830,400 B shares in Kanthal AB from a number of institutional owners.
Sandvik's total holding in Kanthal thereafter amounts to 7,103,277 B shares, corresponding to 64% of the capital and 45% of the votes in Kanthal prior to the exercise of warrants outstanding. After full exercise of all warrants outstanding, the holding represents 58% of the capital and 30% of the votes in Kanthal.
Sandvik has today, for a total consideration of SEK 827 M offered to the Board of Directors of Trustor to purchase all of Trustor's 3,227,600 shares in Kanthal, representing 517,500 A shares and 2,710,100 B shares, and 703,655 warrants, that each entitle the holder to subscribe for one A share in Kanthal. The offer implies an average price of SEK 223 per Kanthal-share. In the event that Trustor also wishes to dispose of the warrants which entitle the holder to subscribe for B shares, Sandvik has declared its intention to also acquire these warrants.
If Trustor accepts Sandvik's offer, which is unconditional and valid until 19 June 1997, Sandvik thereafter intends to make an offer for all the remaining outstanding shares in Kanthal.
The offer to Trustor should be seen in light of the current conflict between owners of Trustor with regards to the disposal of Trustor's shares in Kanthal, and Sandvik's desire to, in this situation, clarify Sandvik's long-term interest in the Kanthal-shares.
Sandviken, 10 June 1997
SANDVIK AB; (publ)