Sandvik proceeds towards separate listing of Sandvik Materials Technology
Sandvik's Board of Directors has announced plans to distribute Sandvik Materials Technology (SMT) to shareholders and list its shares on the Nasdaq Stockholm Exchange. The proposal will be presented at a shareholders' meeting in 2022, contingent on favorable circumstances. The Board believes that separating Sandvik and SMT will enhance long-term shareholder value. Key executives expressed confidence in this strategic direction, stating that both entities can thrive independently. Further updates will be provided as the process progresses.
- Announcement of the planned distribution of SMT shares to shareholders.
- Potential for enhanced long-term shareholder value through the separation.
- Confidence expressed by executives in the independent growth of both Sandvik and SMT.
- None.
SANDVIKEN, Sweden, Oct. 16, 2020 /PRNewswire/ --Sandvik Board of Directors has today decided that following the completion of the internal separation of Sandvik Materials Technology (SMT), Sandvik will proceed with the preparation to distribute SMT to Sandvik's shareholders and list the company's shares on the Nasdaq Stockholm Exchange.
The Board intends to propose the distribution and listing of the SMT shares at a shareholders' meeting in 2022, provided that the circumstances are deemed right at the time. The intended distribution of shares is expected to meet the Lex Asea requirements and is subject to approval by Sandvik's shareholders.
"The Board believes that both Sandvik and Sandvik Materials Technology can develop more favorably on their own. Both Sandvik and SMT are well positioned within their areas and we believe this will improve long-term shareholder value. However, a listing should be done when circumstances are favorable," says Johan Molin, Chairman of the Sandvik Board of Directors.
"Sandvik Materials Technology is leading in its field, I'm convinced that this is the right direction for SMT and for Sandvik," says Stefan Widing, President and CEO of Sandvik.
"I'm very pleased with that the Sandvik Board of Directors has taken this decision today. It is an important step towards an exciting future," says Göran Björkman, President of Sandvik Materials Technology.
More information will follow as the work progress.
A webcasted press conference for media and investors is held today in connection to the presentation of the Q3 results starting at 13.00 CET.
For further information, contact:
Emelie Alm
Investor Relations Officer
phone: +46 79 060 8717
Martin Blomgren
Press and Media Relations Manager
phone: +46 70 577 0549.
This information is information that Sandvik AB is obliged to make public pursuant to the EU Market Abuse Regulation. The information was submitted for publication, through the agency of the contact person set out above, at about 11.30 CET on 16 October 2020.
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SOURCE Sandvik
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