Imtech provides trading update first 8 months 2014

Tuesday, 07. October 2014 07:29

NOT FOR RELEASE, DISTRIBUTION OR PUBLICATION INTO OR IN THE UNITED STATES, AUSTRALIA, CANADA, OR JAPAN

Royal Imtech N.V. provides a trading update for the first 8 months of 2014 ahead of its Extraordinary General Meeting of Shareholders on 7 October 2014.

Order intake in first 8 months remains in line with revenue
Revenue for the continuing operations of the group for the first 8 months of 2014 amounted to 2,552 million euro. Order intake over the same period remained in line with revenue. Since Q2 2014, a number of divisions noticed that the uncertainty and turmoil around the company had a negative impact on the new order pipeline. The publication of the financial measures on August 26th 2014 had a positive impact on customer and other stakeholder sentiment which should facilitate a return to normalised trading conditions. However, the residual effect of the past uncertainty and turmoil could have an impact on order intake in the next few months to come.

Net debt at the end of August of 1,146 million euro
The net interest-bearing debt for the group at the end of August amounted to 1,146 million euro, an increase of 108 million euro compared to 1,038 million at the end of June. This was caused by the normal seasonal increase in working capital which reaches its peak in Q3, cash restructuring costs, cash refinancing costs and paid interest.

Update on divestment processes and progress on legacy items
On 26 August 2014, we announced that we had reached an agreement with Vinci S.A. regarding the sale of the entire ICT division at an enterprise value of 255 million euro, subject to competition clearance and customary closing conditions. The process for closing the transaction is on track, with closing and cash proceeds expected before mid-November 2014. In addition, the closing of the sale of the investment in our joint venture IHC systems has been completed, and a book profit of approximately 12 million euro will be recorded in Q3 2014.

Two previously announced legacy items have been closed: the closing of the sale of a German commercial building, reported as asset held for sale, has been completed at cash neutral terms, and the cash settlement for a 2010 project dispute in Spain has resulted in a cash inflow of 11 million euro.

Offers received to purchase 146 million euro notional debt at approximately 79%
On 26 August 2014, we announced a partial buyback programme of the company's cash debt in a "Dutch" auction process. On 6 October, the company received valid offers to purchase debt with an aggregate par value of 224 million euro. Per the terms of the offer, we may use up to 117 million euro to fund the debt purchases. Based on the 117 million euro maximum, we envisage accepting offers of up to an aggregate par value of 146 million euro. The average weighted price of the offers that are envisaged to be accepted equals approximately 79%. The group's ability to complete the auction and the amount available for the auction remain subject to the outcome of shareholder approval of the rights issue, the completion and market take-up of the rights issue and the sale of the ICT division. Accordingly, we will provide an update on the actual outcome of the Dutch auction in due course.

Shareholder supports rights issue
The group of funds managed by Orbis Investment Management Limited and/or its affiliates, and together holding approximately 6.03% of the ordinary shares, has irrevocably committed to subscribe for new shares in the rights issue in proportion to their joint shareholding. Orbis has also committed itself to vote in favour of the rights issue at today's Extraordinary General Meeting of Shareholders.

The Q3 2014 figures will be published as scheduled on 18 November 2014.

More information

Media: Analysts & investors:
Dorien Wietsma
Director Corporate Communication & CSR
T:  +31 182 54 35 53
E: dorien.wietsma@imtech.com
www.imtech.com
Jeroen Leenaers
Director Investor Relations
T: +31 182 543 504
E: jeroen.leenaers@imtech.com
www.imtech.com

Imtech profile
Royal Imtech N.V. is a European technical services provider in the fields of electrical solutions, automation and mechanical solutions. With approximately 23,000 employees, Imtech holds attractive positions in the buildings and industry markets in the Netherlands, Belgium, Luxembourg, Germany, Austria, Eastern Europe, Sweden, Norway, Finland, the UK, Ireland and Spain, the European market of Traffic as well as in the global marine market. Imtech offers integrated and multidisciplinary total solutions that lead to better business processes and more efficiency for customers and the customers they, in their turn, serve. Imtech also offers solutions that contribute towards a sustainable society - for example, in the areas of energy, the environment, water and traffic. Imtech shares are listed on the Euronext Amsterdam.

Disclaimer

Please read this carefully as it applies to all persons who read this press release. This press release contains information and documents relating to an offer, through a rights issue, of new shares of Royal Imtech N.V. You may not be eligible to view the contents of that information and those documents. Accordingly, if you wish to read this information you must first inform yourself about and then observe the statutory and regulatory requirements applicable to you and to your jurisdiction. In order to establish whether or not you may view the information and documents please read the disclaimer below in full.

This press release is not for release, distribution or publication, whether directly or indirectly and whether in whole or in part, into or in the United States, Australia, Canada or Japan or any (other) jurisdiction where to do so would constitute a violation of the relevant laws of such jurisdiction.

This press release is for information purposes only and are not intended to constitute, and should not be construed as, an offer to sell or a solicitation of any offer to buy securities of Royal Imtech N.V. (the "Company", and such securities, the "Securities") in the United States, Australia, Canada or Japan or in any other jurisdiction in which such offer, solicitation or sale would be unlawful prior to registration, exemption from registration or qualification under the securities laws of such jurisdiction.

The Securities have not been and will not be registered under the U.S. Securities Act of 1933, as amended (the "U.S. Securities Act") and will not be registered with any authority competent with respect to securities in any state or other jurisdiction of the United States. The Securities may not be offered or sold in the United States of America absent registration or an exemption from registration under the U.S. Securities Act. The Company has registered no part of the offering of the Securities in the United States or any other jurisdiction, nor has it the intention to do so. The Company has no intention to make a public offering of Securities in the United States or in any other jurisdiction other than the Netherlands.

The Company has not authorised any offer to the public of Securities in any Member State of the European Economic Area other than the Netherlands. With respect to any Member State of the European Economic Area, other than the Netherlands, and which has implemented the Prospectus Directive (each a "Relevant Member State"), no action has been undertaken or will be undertaken to make an offer to the public of Securities requiring publication of a prospectus in any Relevant Member State. As a result, the Securities may only be offered in Relevant Member States (i) to any legal entity which is a qualified investor as defined in the Prospectus Directive; or (ii) in any other circumstances falling within Article 3(2) of the Prospectus Directive. For the purpose of this paragraph, the expression "offer of securities to the public" means the communication in any form and by any means of sufficient information on the terms of the offer and the Securities to be offered so as to enable the investor to decide to exercise, purchase or subscribe for the securities, as the same may be varied in that Member State by any measure implementing the Prospectus Directive in that Member State and the expression "Prospectus Directive" means Directive 2003/71/EC (and amendments thereto, including Directive 2010/73/EU, to the extent implemented in the Relevant Member State), and includes any relevant implementing measure in the Relevant Member State.

No action has been taken by the Company that would permit an offer of Securities or the possession or distribution of these materials or any other offering of publicity material relating to such Securities in any jurisdiction where action for that purpose is required.

The release, publication or distribution of this press release in certain jurisdictions may be restricted by law and therefore persons in such jurisdictions into which they are released, published or distributed, should inform themselves about, and observe, such restrictions.

This press release does not constitute a prospectus within the meaning of the Dutch Financial Markets Supervision Act (Wet op het financieel toezicht) and does not constitute an offer to acquire securities.

Any offer to acquire Securities pursuant to the proposed offering will be made, and any investor should make his investment, solely on the basis of information that will be contained in the prospectus to be made generally available in the Netherlands in connection with such offering. When made generally available, copies of the prospectus may be obtained at no cost from the Company or through the website of the Company.

ING, Rabobank, Commerzbank and ABN AMRO act exclusively for the Company and no-one else in connection with any offering of Securities and will not be responsible to anyone other than the Company for providing the protections afforded to the customers of ING, Rabobank, Commerzbank and ABN AMRO or for providing advice in relation to any offering or any transaction or arrangement referred to herein





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Source: Imtech via Globenewswire

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