press releases
Altri, SGPS, S.A. informs about the acquisition of CELBI
PRIVILEGED INFORMATION
Under the terms of article 248.º of the Portuguese Securities Code and CMVM Regulation No 4/2004, ALTRI, SGPS, S.A. announces that today it has entered into a sale & purchase agreement with the company STORA ENSO PULP A.B. , for the acquisition of 15.493.288 common, certificated, nominal shares, each with a par value of 5 euros, representing 99,96% of the share capital and 100% of the voting rights of the company CELULOSE BEIRA INDUSTRIAL (CELBI), S.A. , with headquarter at Leirosa, Marinha das Ondas, Figueira da Foz, and a share capital of 77.500.000,00 euros.
The agreed purchase price amounts to 428 million euros.
CELBI produces short-fibre pulp derived exclusively from eucalyptus globulus, having an annual capacity production of 305 thousand tones, and managing approximately 50 thousand acres of land. By the end of 2005, CELBI held net assets of approximately 215 million euros and equity of approximately 189 million euros.
In 2005, CELBI reported a net income of 19,9 million euros and a cash EBITDA of approximately 45 million euros. In the last six years, CELBI reported an average annual cash EBITDA of 55 million euros.
ALTRI, SGPS, S.A. expects to obtain synergies, throughout the combination of its three pulp factories (Celbi, Celtejo e Caima) and its plantation assets, with an estimated current net value of 80 million euros.
In the short term ALTRI, SGPS, S.A. expects to upgrade its capacity production up to 330.000 tones, with a marginal investment.
The acquisition is subject to non-opposition of the Portuguese Competition Authority.
The acquisition will be financed by debt underwritten by CAIXA GERAL DE DEPÓSITOS and BANCO BPI . ALTRI, SGPS, S.A. further does not intend to increase its share capital to finance the acquisition.
BANCO PORTUGUÊS DE INVESTIMENTO, S.A. and CAIXA – BANCO DE INVESTIMENTO, S.A. have assisted ALTRI, SGPS, S.A. in studying this investment opportunity.
Porto, June 8th 2006
The Board of Administration