Affecto Plc – Stock Exchange Release, 8 December 2016 at 9:00, Helsinki
Affecto has agreed to sell its Estonian subsidiary
Affecto has agreed to sell its subsidiary business in Estonia (Affecto Estonia OÜ) to the subsidiary’s acting members of staff. The transaction was a mutually beneficial decision and is in line with Affecto’ s strategic direction.
The selling price is approximately EUR 1.8 million and the transaction's overall impact on Affecto Group’s operating profit in 2016 is expected to be approximately EUR 1.1 million. Affecto’s Outlook for the year 2016 remains unchanged. The Company expects to close the transaction in December 2016.
It is Affecto’s conviction that the macroeconomic situation within Affecto’s current Estonian customer market, with its increased price and salary pressures and localized customer demand, can be most directly addressed by the independent Estonian firm.
Affecto is in the process of strengthening synergies across network of its offices. After the transaction, the Estonian company will focus entirely on its existing regional business, a move which Affecto’s Deputy CEO Iikka Lindroos believes to be “most beneficial for the current customers and employees in Estonia, and the sale is also the optimal solution for our shareholders”.
Affecto will partner with the entity in Estonia. This will enable joint local delivery solutions to continue for Affecto’s international customers.
For additional information, please contact:
+358 40 8018331
Managing Director, Eastern Europe, South Africa & Delivery
+358 40 5033927