14.2.2022 20:00:50 CET | StrongPoint | Additional regulated information required
to be disclosed under the laws of a member state

(Oslo, Norway, 14 February 2022): StrongPoint ASA (StrongPoint) has today agreed
on an exclusive, non-binding term sheet to acquire 100% of the shares in Air
Link Group Limited (Air Link), www.als.global.

Air Link is a retail solutions company that provides construction services,
grocery lockers, self-checkouts, vending systems and queue management systems to
grocery retailers. It is widely seen as the partner of choice for installation
and service for some of the UK's leading grocery retailers and has worked for
Tesco, Sainsbury's and Asda. 

"As part of our 2025 strategy, acquisition was outlined as a core step in
achieving our financial ambitions. With the purchase of Air Link we are
achieving instant and significant presence in the countries at the top of our
list for geographical expansion. Air Link has built an impressive reputation in
the market and will enable us to build on their relations with grocery retailers
in the UK and Ireland with our word-class grocery technology solutions," said
Jacob Tveraabak, CEO of StrongPoint.

"We couldn't be happier that our team is to join StrongPoint which will help
take Air Link to the next level. It is excellent news for Air Link as it will
allow us to grow further and take the company to new heights of customer
success. We are extremely confident that with Air Link, StrongPoint has a solid
base from which to build even more customer successes and design new and
innovative solutions," said Martin Fletcher and Paul Fletcher, ALS co-founders.

Air Link is the key operating entity in a group consisting of Air Link Services
Limited, Air Link Systems Limited and ALS Retail Services Limited (Ireland)
(such companies together with Air Link, the Group). Air Link is currently owned
by ALS Kingfisher Limited and European Retail Engineering Limited. Certain of
the entities are owned directly by the controlling shareholders and the relevant
parts of the business to be acquired owned by such entities will be transferred
into the Group to be acquired before closing. 

The enterprise value for 100% of the shares in Air Link is on the basis of the
Parties' signed term sheet. The final enterprise value will be subject to
completion of StrongPointŽs due diligence.

StrongPoint evaluates the indicative purchase price to be fair relative to
comparable transactions in the service and installation market in the UK. The
final purchase price shall be settled with a combination of cash and 20% in
consideration shares in StrongPoint. StrongPoint has free cash available to
settle the full amount of the cash portion of the purchase price and the
completion of the transaction is therefore not subject to any financing
conditions. The consideration shares will consist of a combination of treasury
shares held by StrongPoint and issuance of new shares. There will be a 24 month
lock-up period on the consideration shares, subject to final agreement.

Signing of the final share purchase agreement and completion of the transaction
is subject to due diligence in all respects (including legal and financial),
agreement on final transaction agreements as well as other customary closing
conditions. Pursuant to the term sheet, the Parties have agreed that StrongPoint
shall have exclusivity until 30 April 2022 and StrongPoint aims to sign and
possibly complete the transaction within the exclusivity period. Further
information will follow in due course.

CONTACT PERSON

For further information, please contact:

Hilde Horn Gilen, CFO StrongPoint ASA, +47 920 60 158, 
hilde.gilen@strongpoint.com

 

DISCLOSURE REGULATION

This information is considered to be inside information pursuant to MAR article
7, and is publicly disclosed in accordance with MAR article 17 and section 5-12
of the Norwegian Securities Trading Act. The announcement is made by the contact
person, at the date and time as set out above.

 

About StrongPoint

StrongPoint is a retail technology company that provides solutions to make shops
smarter, shopping experiences better and online grocery shopping more efficient.
With over 400 employees in Norway, Sweden, the Baltics and Spain and together
with a wide partner network, StrongPoint supports businesses in more than 20
countries. StrongPoint provides in-store cash management and payment solutions,
electronic shelf labels, self-checkouts, task and labor management software,
click & collect temperature-controlled grocery lockers, in-store and drive-thru
grocery pickup solutions and, grocery order picking solutions. StrongPoint is
headquartered in Norway and is listed on the Oslo Stock Exchange with a revenue
of 1bn NOK [ticker: STRO].

 

ATTACHMENTS

Download announcement as PDF.pdf -
https://kommunikasjon.ntb.no/ir-files/17847450/1193/1573/Download%20announcement
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