03.09.2011 | Austria

Term sheet on investor participation signed

Today S&T AG has signed a term sheet with investors Quanmax AG and grosso Holding GmbH and the financing banks. This term sheet contains all essential conditions for a planned participation of these investors by capital increase and the restructuring of the financial liabilities. After the implementation of the capital increase the investors will be holding an about 80% majority in S&T. For the final decision on this transaction it is planned to call an extraordinary general shareholders meeting in the near future. Based on this term sheet, agreements on the issue of new shares and the reorganization of liabilities of S&T AG (parent company) will be implemented. In addition to the long-term financial stability of S&T and the reorganization of the shareholder structure, the investors' participation provides sustainable advantages for both companies' customers: Quanmax will gain access to the markets in Eastern Europe and S&T will massively broaden its portfolio.

Overall, the transaction will lead to a sustained and comprehensive strengthening of the capabilities of S&T and provide the conditions for a successful long-term economic development of the group.
The implementation of the transaction is conditioned amongst others to the approval by the general meeting of the shareholders, the cartel authorities and the granting of the restructuring privilege by the takeover commission.

"The participation of these investors brings sustainable stability to the entire S&T Group. With this S&T will enhance its position as a long-term partner for our clients. We are grateful to our employees, customers and suppliers for their loyalty in the past hard times and look forward to our joint future", emphasizes the executive board of S&T Group.
Due to the advances in the restructuring process and the agreement on the investor participation, Mr. Michael Lanik, CRO, will resign as member of the Executive Board and leave S&T effective 5 September. The Supervisory Board thanks Mr. Lanik for his successful work for S&T.