SAS announces offer price and commencement of trade for Rezidor Hotel Group AB

Nordic Business Report, Nov 28, 2006

NORDIC BUSINESS REPORT-28 November 2006-SAS announces offer price and commencement of trade for Rezidor Hotel Group AB(C)1994-2006 M2 COMMUNICATIONS LTD http://www.m2.com

Scandinavian airline SAS Group announced on Tuesday (28 November) the offer price and commencement of trading for its 75%-owned subsidiary Rezidor Hotel Group AB on the Stockholm Stock Exchange.

Following a book-building process the offer price has been set at SEK 52 per share. At the offer price, the market capitalisation of Rezidor is SEK7.8bn.

The offer comprises a total of 97,501,326 shares, assuming full exercise of the over-allotment option, corresponding to 65% of the total outstanding share capital and votes of Rezidor. The total value of the offer, including the over-allotment option, amounts to SEK5.07bn.

SAS has also agreed to sell 15,000,204 shares, corresponding to 10% of Rezidor, to Carlson Hotels Worldwide Inc for a total consideration of SEK780m. As a result Carlson will increase its stake in Rezidor from 25% to 35%.

Assuming the over-allotment option is exercised in full SAS will not hold any shares in Rezidor. If the over-allotment option is not exercised in full SAS will hold up to some 8.5% of the shares in Rezidor.

Rezidor Hotel Group, headquartered in Brussels, Belgium, has a portfolio of 272 hotels in operation or under development in 47 countries.

SAS AB, headquartered in Stockholm, Sweden, is the Nordic region's largest listed airline and travel group. The SAS Group offers air transport and related services from its base in Northern Europe. The group also includes hotel operations with Rezidor SAS Hospitality. The company is listed on the Nordic Exchange in Stockholm.

One British pound (GBP) is worth approximately 13.70 Swedish kronor (SEK).

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