Aspo’s share began to slide – CEO: This is how corporate reorganizations proceed

Multidisciplinary company Asp is in the middle of corporate restructuring. Managing director Rolf Jansson sheds light on which arrangements we are going with now.

Aspo has said that he is selling The baker– its business Lantmännenille with an enterprise value of 63 million euros. The company says that it expects to complete the deal in the first quarter of this year.

The company is conducting a strategic evaluation, where the main options are a shipping company ESL Shippingin sale or possible partial division of Aspo. The multi-sector company also includes a distributor of chemicals Telko.

For example, an analysis house Inderes has presented an estimate that ESL Shipping and Telko may split into two independent listed companies.

According to Jansson, the order is that Leipuri should be sold first during the first quarter.

“The competition authorities in different countries are dealing with that transaction. It is quite a time-consuming process in the sense that it is a country-specific review. But I don’t see any kind of problems with it. It will be completed in the next few weeks,” the CEO said in Talousaamu’s live broadcast immediately after the announcement of the results report.

According to Jansson, it is already completely clear what will be done with the Leipurin money. The funds will be used to strengthen Aspo’s balance sheet, which will enable Telko to make acquisitions in the future in the area where the company already operates today.

According to Jansson, the other arrangements are also to be completed during this year.

“At the moment, both Telko and ESL are being strengthened to the point where they can operate as independent companies.”

Is it intended that two separate listed companies be created?

“That is another option. If a partial split takes place, then two separate listed companies will be created. Another option is the sale of ESL.”

“But Telko’s path is clear, and Telko will become an independent listed company.”

Will Aspo cease to exist? Are you trying to quit your own job?

“In all scenarios, the level of unity is lost. We are currently evaluating how we combine Aspo’s operations with both Telko and ESL. We are trying in every way to remove overlaps. At the moment, I have a double role. I was also the CEO of Leipurin for a while. There is nothing new here.”

“It is really interesting to get to know Telko’s business even better. Telko has excellent conditions for operating as an independent listed company.”

Aspo’s comparable ebita operating result for October–December increased from the comparison period, but fell short of forecasts. Turnover decreased from the comparison period and fell short of expectations.

Last year, for example, the situation in the forest industry was quite bad. According to the CEO, the deepest pit has been passed. Aspo recommends an improvement in results compared to last year.

“It is based on the fact that economic growth is recovering in our key markets. Of course there are risks in the market. There is geopolitical risk and trade tensions, but we ourselves have a lot of measures to improve the result. We are trying in every way to improve the result.”

Aspo’s share opened on the stock exchange down almost four percent.

Watch the full episode of Talousamau below.