Sdiptech AB (publ) signs agreement of acquiring KS

Press release 25 May 2018, 18:30

Sdiptech signs agreement of acquiring KSS Klimat- & Styrsystem AB

As per todays date, Sdiptech has entered an agreement to acquire all shares in KSS Klimat- & Styrsystem AB. This acquisition is one of the two non-binding letters of intent entered earlier this year, previously communicated by Sdiptech. The acquisition is expected to be completed in the coming weeks.

KSS Klimat- & Styrsystem (KSS) designs, programs, installs, and operates control and monitoring systems for real estate automation, focusing on indoor climate control and ventilation. In addition to new installations, KSS also performs service and system adaptions on existing installations. During the last broken financial year, net sales amounted to approximately SEK 88 million and the operating income to approximately SEK 12 million.

Jakob Holm, CEO Sdiptech, comments:

"For many years, KSS has shown a good growth and we see a well-managed company with great prospects of delivering continued growth. Real estate automation is an area that fits very well with Sdiptech's focus on urban infrastructure, and it is a segment within infrastructure that we believe has good potential."

Sven-Olov Granlund, CEO KSS, comments:

"We are very happy to, in Sdiptech, have found a player who sees the same potential in KSS as we do. Their long-term attitude fits very well with our way of working and we are looking forward to jointly developing the company in the years to come."

The company is valued at SEK 123.6 million at the time of the acquisition, and the total purchase consideration, including future performance-based additional purchase considerations over four years, will reach a maximum of SEK 155.7 million, given that growth in the operations remains favourable. By the completion of the acquisition, SEK 61.8 million will be paid in cash, while the remaining amount will be reported as a liability in the Group's accounts.

Sdiptech's common share of series B share is traded under the short name SDIP B with ISIN code SE0003756758. Sdiptech AB's preferred shares are traded under the short name SDIP PREF with ISIN code SE0006758348. Sdiptech AB's Certified Adviser at Nasdaq First North Stockholm is Erik Penser Bank. Further information is available on the company's website: www.sdiptech.com

For further information, please contact:

Carl Johan Åkesson, CFO, +46 708 30 70 57, cj.akesson@sdiptech.com Jakob Holm, CEO, +46 761 61 21 91, jakob.holm@sdiptech.com

Sdiptech AB is a technology group with a primary focus on urban infrastructures. The group offers deeply niched services and products for both expanding and renovating rapidly growing metropolitan areas. The company is based in Stockholm.

The information was provided by the above contact persons for publication 25 May 2018 at 18:30 CET.

Attachment

• 180525 - Sdiptech AB (publ) signs acquisition agreement of KSS.pdf