Swedish Match: Update on Scandinavian Tobacco Group

Source from:  Business Wire 02/10/2015

As communicated earlier, Swedish Match (SWMA.ST) with the other shareholder of Scandinavian Tobacco Group (STG) have engaged advisors to assess strategic alternatives with regards to STG. In the strategic review further opportunities have been identified and the shareholders of STG have agreed that it is in their best interests to continue growing STG under the leadership of Niels Frederiksen, the newly appointed CEO, in view of a potential future Initial Public Offering.

On January 30, STG announced the appointment of Niels Frederiksen as CEO, replacing the departing CEO, Anders Colding Friis. Niels Frederiksen is currently the company's Executive Vice President of the global supply chain and member of the Executive Board. Over the past years, Niels has played an instrumental role in building STG to what it is today, as well as in developing the future strategic direction of the company, where further operational improvements and increased capital efficiency have been identified as significant opportunities for increased profitability and return on capital.

"We believe that Niels Frederiksen has the experience and leadership skills necessary to further develop this great company," says Lars Dahlgren, President and CEO of Swedish Match and a member of the Board of Directors of STG.

While no final decision has been made, the shareholders of STG have agreed to evaluate a potential Initial Public Offering. Enditem