Första AP-fonden has decided to accept the public offer of Oriflame of 227 SEK per share.
“We believed in the structural growth opportunities for Oriflame and the wider industry, which is why Första AP-fonden has been a long-term investor. We believe that this bid does not fairly value the company based on both future cash flows and global peers. However, we agree with the independent bid committee that risks from both competition and regulation in the coming 12-24 months make it difficult to predict a recovery in sales and profits. Given the possibility of investing in other companies with greater potential both short term and long term, we are willing to accept the bid,” says Olof Jonasson, Head of Equities.
Första AP-fonden owns approximately 2.9 million shares in Oriflame, corresponding to 5.15 percent of votes and capital.
For more information, please contact:
Olof Jonasson, Head of Equities, telephone: +46 70 968 12 62.
Sara Christensen, Head of Communication, telephone: +46 70 698 12 50.
Första AP-fonden (AP1) is one of five AP-funds which ensures stability in the Swedish national income pension system. AP1’s assets under management totals SEK 324 billion (31 dec 2018) and the global portfolio consists of equities, fixed income securities and alternative investments. The mission is to generate the highest possible return, while maintaining a low level of risk, and thus contribute to a high and predictable income pension for current and future pensioners.