Vaahto Group has made an agreement to sell Service business
VAAHTO GROUP PLC OYJ STOCK EXCHANGE RELEASE 3.9.2014 at 09.30
VAAHTO GROUP HAS MADE AN AGREEMENT TO SELL SERVICE BUSINESS
According to its new strategy, Vaahto Group focuses on Process Technology business. In February 2014, Vaahto Group Plc Oyj announced to divest or discontinue operations of the unprofitable Paper Technology business in its entirety.
As a result of the strategic alignment Vaahto Paper Technology Ltd, subsidiary of Vaahto Group Plc Oyj, has on 2 September 2014 made an agreement for the sale of the Service business, belonging to Paper Technology -segment, to a company to be incorporated by a group of investors represented by Antti Vaahto.
The aim of the parties is to negotiate the final terms of the transaction no later than on 16 September 2014.
The Service business has accumulated annual revenues of 4–7 million euros during the last years, with low profitability. The business unit employs approximately 45 persons in Tampere.
The selling of the business is expected to improve cash flow of the Vaahto Group for the fiscal year 2014 as well as to implement the strategy outlined by the Board of Directors.
Vaahto Group is a globally operating high technology company serving process industry.
In Lahti on 3 September 2014
VAAHTO GROUP PLC OYJ
Board of Directors
Reijo Järvinen, Chairman of the Board of Directors, Vaahto Group Plc Oyj, +358 400 715968
Topi Karppanen, CEO, Vaahto Group Plc Oyj, +358 40 5001957