Lassila & Tikanoja - Company Announcement

Lassila & Tikanoja plc negotiates on an arrangement aiming to merge the businesses of L&T Recoil Oy and EcoStream Oy

Helsinki, Finland, 2012-05-08 07:00 CEST (GLOBE NEWSWIRE) -- 


LASSILA & TIKANOJA PLC STOCK EXCHANGE RELEASE 8 May 2012 8.00 am



Lassila & Tikanoja plc and EcoStream Oy are negotiating on a business
transaction in which Lassila & Tikanoja will sell its 50 percent holding in the
joint venture L&T Recoil Oy to EcoStream, a co-owner. The selling price would
total EUR 10 million paid in cash and slightly under 20% of EcoStream's share
capital. The arrangement's cash flow effect is about to be some EUR 10 million
positive and effect on operating profit is to be neutral in 2012. 

Lassila & Tikanoja would still continue as one of the raw material suppliers of
the plant. 

The transaction is intended to be completed by the end of June 2012. The
transaction is conditional to the completion of the share issue decided by the
Annual General Meeting of EcoStream, held on 26 April 2012. 


LASSILA & TIKANOJA PLC


Ville Rantala
CFO


For additional information please contact
Ville Rantala, CFO, Vice President, Renewable Energy Sources, tel. +358 50 385
1442. 

Lassila & Tikanoja specialises in environmental management and property and
plant support services and is a leading supplier of wood-based biofuels,
recovered fuels and recycled raw materials. With operations in Finland, Sweden,
Latvia and Russia, L&T employs 9,500 persons. Net sales in 2011 amounted to EUR
652 million. L&T is listed on NASDAQ OMX Helsinki. 

Distribution:
NASDAQ OMX Helsinki
Major media
www.lassila-tikanoja.com