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Electronics Production | June 09, 2009

Divestment of Kitron Microelectronics AS

Kitron ASA has signed an agreement to sell the Microelectronics business at Røros to some of the local employees and Norbit AS.
Kitron Microelectronics AS has about 50 employees and had an annual turnover of NOK 128 million in 2008. The transaction is expected to be closed at the end of June 2009, subject to finalising the financing arrangements.

Jørgen Bredesen, Kitron CEO, expressed the following about the transaction. "We are very satisfied with the agreement reached and in particular that we have been able to secure continued operation and employment for the employees at Røros. We are selling the Microelectronics business because we have concluded that this is not a core business for Kitron going forward and because we want to concentrate our manufacturing in Norway to our site at Arendal. We are confident that with Norbit AS as a strategic partner and significant shareholder the operation at Røros will have a solid foundation to succeed outside Kitron."

Kitron estimates to book a loss before tax of NOK 17 million in Q2 2009 in connection with the transaction. The transaction is not expected to have any significant negative impact on cash and liquidity of Kitron ASA.

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April 24 2018 11:28 pm V9.4.0-1