CapMan's subsidiary Norvestia exits Idean Enterprises Oy - another success for the Growth Equity team

CapMan Plc        Stock Exchange Release                16 February 2017 at 8.30 a.m. EET

CapMan's subsidiary Norvestia exits Idean Enterprises Oy - another success for the Growth Equity team

Norvestia has agreed to sell its ownership in the rapidly growing Idean Enterprises Oy to the global IT Services Group Capgemini. Capgemini will acquire the entire share capital of Idean and the transaction is estimated to close by the end of February. Norvestia invested in Idean in 2014 and owned 24.8 per cent of it.

Conditional to the close, the exit contributes approx. €6-7 million to CapMan's first quarter 2017 net result booked as a positive fair value change. CapMan announces its first quarter 2017 result on 4 May 2017 in an interim report, which includes a comprehensive account of factors affecting result development for the quarter. On 31 December 2016 Norvestia's Net Asset Value (and Shareholders' Equity) was €124.6 million. The effect of the sale on the Net Asset Value corresponds to approx. 6 per cent in the first quarter of the year. The exit has a significant positive effect on cash flow upon completion. According to market practice, the final purchase price is determined in the next two years following the exit. The parties have agreed not to disclose the purchase price.

Idean is a global design firm that works with the world's leading companies, helping them create long-lasting relationships with their customers, through truly value-creating experiences. Idean's core know-how is the design of different strategic customer and user experiences.

"Idean has been an excellent investment for us. Our goal was to take Idean's design know-how global and in this we have succeeded well - Idean is the first Finnish-born design company to make a breakthrough in the US. We are proud that we have had the opportunity to co-operate with professionals of Idean. This transaction represents a marquee deal by any metrics and proof that Idean's know-how is highly appreciated," says Juha Mikkola, Member of the Board in Idean and responsible for Growth Equity investments at CapMan.

"The active cooperation with Norvestia has had a significant impact on the growth and development of our company, and we are very grateful to Norvestia for their support. Idean has grown profitably and our team today consists of over 150 designers, technologists and strategists. A significant part of our current customers are major global companies", summarises Risto Lähdesmäki, Founder and CEO at Idean.

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