Orkla ASA: Agreement regarding sale of Orkla's int

Reference is made to the stock exchange notice of 10 July 2017 regarding announcement of an agreement between Orkla and Norsk Hydro ("Hydro") whereby Hydro is to purchase Orkla's 50% interest in Sapa. The agreement was completed today in accordance with its terms. Orkla has today received NOK 11.86 billion in cash from Hydro as preliminary purchase price, which represent a valuation of Sapa of NOK 27 billion (on debt-free basis). Final purchase price will be determined based on Sapa's balance as of 30 September 2017. Orkla has been a shareholder in Sapa since 2005. When Sapa JV was established in 2013, Gränges was spun off and subsequently listed on the Nasdaq Stockholm (Stockholm stock exchange) at a total sales value of approximately NOK 5 billion. At the time Sapa JV was established, Orkla received a cash settlement of NOK 1.8 billion. For 2016, Orkla has received an ordinary dividend of NOK 1.5 billion from Sapa. Thus, Orkla has realised a total value of more than NOK 20 billion from its original investment in Sapa.  As from Q2, Orkla has reported the engagement in Sapa as discontinued operations. Taking into account profit from operation and completion of the transaction, Orkla will as per Q3 report a total profit and gain from Sapa of approximately NOK 5 billion on the line "discontinued operations". Final calculation of the gain will be determined in connection with establishing the final purchase price under the agreement. As further set out in a separate stock exchange notice, the Board of Directors of Orkla has decided to call for an extraordinary general meeting on 25 October 2017 with the purpose of handling the proposal to distribute a special dividend of NOK 5 per share.  Orkla is a leading supplier of branded consumer goods and concept solutions to the grocery, out-of-home and bakery markets in the Nordics, Baltics and selected markets in Central Europe and India. Orkla is listed on the Oslo Stock Exchange and its head office is in Oslo. In 2016, the Group had a turnover of approximately NOK 38 billion, and 18,000 employees at year end. Orkla ASA Oslo, 2 October 2017 Ref.: SVP Investor Relations Mattias Orrenius Tel.: +47 983 66 334 E-mail: mattias.orrenius@orkla.no Group Director Corporate Communications and Corporate Affairs Håkon Mageli Tel.: +47 928 45 828 E-mail: hakon.mageli@orkla.no

This information is subject to the disclosure requirements pursuant to section 5 -12 of the Norwegian Securities Trading Act.