Ferronordic sells Russian business for $126 mln, shares soar 60% (updated)
23/12/2022 09:21
(Adds quote, share price, detail)
OSLO, Dec 23 (Reuters) - Sweden's Ferronordic FNMA.ST ,
which sells and services construction equipment and trucks, said
on Friday it had divested its Russian business in a deal worth
1.32 billion Swedish crowns ($126.08 million).
Ferronordic's shares rose more than 60% by 0915 GMT, hitting
a nine-month high of 83.5 crowns.
The company used approximately 230 million crowns to
repay debt to the sold Russian subsidiaries, while the remaining
cash had been deposited in euros into the group's account in
Austria, giving it a cash inflow equivalent to 1.09 billion
crowns.
"Ferronordic's other operations in Germany and
Kazakhstan are not directly affected by the transaction," the
company said.
($1 = 10.4698 Swedish crowns)
(Reporting by Terje Solsvik, editing by Stine Jacobsen)
((terje.solsvik@thomsonreuters.com; +47 918 666 70))