Ahlstrom Signs New Demerger Plan Related to Coated Specialties Business in Brazil
May 14, 2013 (Press Release) - Ahlstrom Corporation's Board of Directors [yesterday] signed a new demerger plan related to Coated Specialties, Ahlstrom's Label and Processing business in Brazil, and cancelled the previous Coated Specialties demerger plan. Under the signed demerger plan, all the assets and liabilities contained in the Ahlstrom Group, that belong to the Coated Specialties business in Brazil, will be transferred to Munksjö Oyj through a partial demerger.
The demerger is part of the process through which Ahlstrom's Label and Processing business and Munksjö AB will be combined.
The signing of the new demerger plan and cancellation of the previous one were needed since Ahlstrom and Munksjö will not be able to receive all relevant regulatory approvals before May 27, 2013, when the demerger decision made by Ahlstrom's Extraordinary General Meeting of the Shareholders expires. As announced before, Ahlstrom expects to complete the demerger of the Label and Processing business in Brazil during the second half of 2013. Ahlstrom will later this month publish a separate invitation to a new Extraordinary Shareholders' Meeting, which is required to obtain approval for the new Coated Specialties demerger plan.
The new complete Coated Specialties demerger plan is attached to this Stock Exchange Release and it contains information on the demerger consideration to Ahlstrom's shareholders, the planned time for execution of the demerger, the division of the demerging company's assets and liabilities to the recipient company and the conditions for the execution of the demerger.
Munksjö Oyj, as the recipient company in the partial demergers, will publish a prospectus concerning the shares offered in the demerger approximately one week before Ahlstrom's Extraordinary General Meeting for Shareholders.
The demerger plan, signed on September 11, 2012 related to Ahlstrom's Label and Processing business in Europe, is pending, for example, an approval by the European Commission competition authorities. This decision is expected during the coming weeks. Consequently, the execution of this demerger is expected to take place on or before May 27, 2013.
The two demergers form a step in the execution of the transaction between Ahlstrom and EQT concerning the combination of Ahlstrom's Label and Processing business and Munksjö AB that was announced on August 28, 2012.