KappAhl: EGM statement

KappAhl Holding AB (publ) held an Extraordinary General Meeting (EGM) at 2 p.m. on 17 September 2007 in Mölndal.

As a result of KappAhl Holding AB's (publ) public offer to acquire all the shares in AB Lindex (publ) on 13 August 2007, the EGM authorised the Board, prior to the next Annual General Meeting and on one occasion, to decide on a share issue or issue of convertibles, with preferential rights for existing shareholders. The authorisation should only be used to refinance part (just over SEK 2.0 billion) of the loans taken for when the offer is carried out, and proceeds from the issue decided with the support of this authorisation, will be used to repay part of the loans the company will take on completion of the company's public offer on 13 August 2007, for the acquisition of all shares in AB Lindex (publ).

The EGM's decision was taken with the necessary majority.

"Lindex shareholders have been given a simple, clear cash offer to decide on, with a premium of 15 per cent compared to the share's final price before the offer. As an independent chain store within a Group, Lindex will get a professional environment to develop in and will be able to draw from and contribute to the KappAhl Group's collective expertise and resources in retail trade and fashion." Christian W. Jansson, President and CEO of KappAhl

For further information, please contact:
Christian W. Jansson, President and CEO,Tel. +46 70 995 02 01
Håkan Westin, CFO, Tel. +46 70 471 56 64

KappAhl is a leading Nordic fashion chain with approximately 272 stores in Sweden, Norway, Finland and Poland. We design, market and sell clothes for the entire family, but focus in particular on women between 30 and 50 years of age, shopping for the whole family. KappAhl's head office and distribution centre, which handles the distribution of goods to all stores, is located in Mölndal, just outside Gothenburg. KappAhl employs around 3,700 individuals, more than 90 per cent of whom are women. During the 2005/06 financial year, KappAhl had sales of SEK 4.2 billion, with an operating profit of SEK 530 million. KappAhl's shares are listed on the OMX Nordic Exchange in Stockholm. Further information about the company is available at www.kappahl.com and financial information is available at www.kappahl.com/ir.

Download file: 070917_kappahl_egm_statement.pdf