Scandinavian Astor

"The acquisition of ID Modeller is a strategic step to strengthen the Group's capacity and efficiency in advanced manufacturing. By integrating IDM's expertise and technology, as well as exploiting synergies with our other production sites, we create opportunities for increased automation and efficiency. This will contribute to improved margins and shorter lead times, while continuing to deliver high-quality solutions in advanced composite materials and production technologies," says Astor Group CEO Mattias Hjorth.

On December 19, 2024, Astor Group announced that its subsidiary Marstrom had entered into an agreement regarding the acquisition of all assets in the Ljungby-based company IDM. The asset acquisition was subject to approval from ISP, which has now been obtained. All conditions for the completion of the acquisition have now been fulfilled and Marstrom has thus, today, February 3, 2025, taken possession of the assets in IDM. The business is planned to continue in Ljungby and will continue to deliver to existing customers but also grow through IDM becoming part of Marstrom organizationally. Astor Group assesses that there is significant unused production capacity in the business with clear opportunities to expand and increase production to meet both existing and new customer needs. Astor Group will include the accounting of IDM as part of Marstrom and consolidate the asset acquisition in the Group from the acquisition date, which will be reported in the interim report for the first quarter of 2025.

Part of the purchase price from the acquisition of the assets in IDM was paid in the form of promissory notes totalling approximately SEK 5.1 million and Astor Group took over Marstrom's debt under the promissory notes in connection with the asset acquisition. The Board of Directors of Astor Group has decided and carried out an off-set issue (the "Off-set Issue") of a total of 443,479 shares directed to the owners of IDM against payment by offsetting the promissory notes. The reasons for the new share issue and the deviation from the shareholders' preferential rights are to fulfill commitments to offset the promissory notes against newly issued shares in the Company and thereby reduce the Company's debt without affecting the Company's existing working capital, which is beneficial to the Company's financial position. In view of the above, the Company assesses that a directed off-set issue, with deviation from the shareholders' preferential rights, is beneficial for the Company and is in the best interest of the Company's shareholders. The sellers have entered into lock-up agreements regarding the newly issued shares. Through the new share issue, the number of shares in Astor Group increases from 45,614,020 to 46,057,499. The share capital increases from SEK 12,027,745 to SEK 12,144,684. The new share issue entails a dilution of approximately 1.0 percent of the number of shares and votes.

The subscription price in the Off-set Issue was determined, in accordance with the terms of the acquisition, at SEK 11.50 per share. The Board of Directors assesses the subscription price to be in line with market conditions as the subscription price corresponds to a premium of approximately 7.7 percent in relation to the volume-weighted average price during the 30 days prior to the agreement on the acquisition being entered into on Nordic Growth Market SME.

Scandinavian Astor Group - Strength and security in all elements

For additional information please contact:
Scandinavian Astor Group CEO Mattias Hjorth
E-mail: ir@astorgroup.se

Please note that this is an English translation of a press release written in Swedish by Scandinavian Astor Group AB (publ), in the event of any inaccuracies, the Swedish version applies.

About Scandinavian Astor Group AB (publ)
Scandinavian Astor Group is active in the defence industry. The company is a supplier of products, services and related technical solutions in military defence and civil security as well as products for industries. The Group is divided into two business areas, Astor Industry and Astor Tech, where the product portfolios consist of, for example, electromagnetic warfare systems and military aviation equipment, as well as metal and composite components. Astor Group is a public company with shares traded under the ticker ASTOR on NGM Nordic SME and dual listed on Börse Stuttgart. The Company has its operations in Sweden. Shark Communication AB, tel. +46 73-434 45 15, e-mail: info@sharkcom.se is the Company's Mentor. For more information about Astor Group's business, visit: www.astorgroup.se