Martifer announces agreement regarding payment of final 175 million euros tranche relating to Repower
In respect to the conclusion of the transaction agreed between Martifer Group (´Martifer’) and Suzlon Group (‘Suzlon’) involving the sale of Martifer’s remaining stake in Repower Systems AG (‘Repower’), Martifer announces that the following dates were agreed regarding the payment of third and final tranche as per the payment schedule announced 15 December 2008:
- on 28 May 2009, payment of 87.6 million euros, received today; and
This transaction follows the payments of the first tranche in December 2008 for circa 65 million euros and the second tranche in April 2009 for 30 million euros.
Regarding the second and third tranches, Martifer will record an after tax capital gain of circa 161 million euros in the second quarter of 2009. Martifer will publish first half of 2009 results on 27 August.
Upon conclusion, Martifer will have received a total amount of 270 million euros for its stake in Repower and will no longer hold any shares of Repower.
The sale of Martifer’s stake in Repower to Suzlon was agreed in February 2007 at the time of the successful bid over Repower launched together with Suzlon.
This transaction will allow Martifer a profitable exit from the share capital of Repower in exactly the terms agreed two years ago, preserving the good relationship Martifer has developed with both Suzlon and Repower.
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