Orkla ASA Initiates Process to Divest Sapa Heat Transfer

Orkla ASA announced that it will explore the opportunities for a divestment of the rolled products operations of Sapa Heat Transfer. Orkla ASA and Norsk Hydro ASA on October 15, 2012 announced the forming of a joint venture (J/V), combining the companies' Profiles and Building Systems operations. The J/V also includes the extruded and welded products operations, which is a part of Sapa Heat Transfer, but it excludes the rolled products operations. As a consequence, Orkla will explore the opportunities for a divestment of the rolled products operations. The planned divestment includes the main part of the business area Sapa Heat Transfer (turnover full year 2011 of approximately NOK 3.9 billion), including the two rolling mills in Shanghai, China and in Finspang, Sweden. Orkla has appointed a financial adviser to support the process. The rolling operation has approximately 900 employees, mainly based in China and Sweden, and with sales representatives in the United States, India, South Korea and Japan.