Indutrade

M&A Activity • Oct 22, 2007

Indutrade AB (publ) Box 6044, SE-164 06 Kista, Sweden Visitors' address: Raseborgsgatan 9 Phone: + 46 8 703 03 00 Fax: + 46 8 752 79 39 E-mail: info@indutrade.se www.indutrade.se

Press release

Indutrade gains foothold in the UK

Indutrade today acquired all of the shares in International Plastic Systems Limited (IPS), a technical sales company in Newcastle with annual sales of SEK 115 million.

IPS is one of the UK's leading suppliers of plastic piping systems and valves, with a broad product range of installation tools and welding equipment. IPS combines technical problemsolving with traditional distribution. The company's customers are found in segments ranging from water treatment, swimming pools and fire safety, to the chemical and construction industries.

"This acquisition is a milestone for us, since it entails Indutrade's establishment in a new country that makes up the largest market for our type of business in Europe," says Johnny Alvarsson, President and CEO of Indutrade. "We see this step as a springboard for our continued expansion in Europe."

Organisationally IPS will be included in the Flow Technology business area, which had annual sales of SEK 1,073 million in 2006.

IPS is Indutrade's eleventh acquisition this year and is expected to have a marginally positive impact on Indutrade's earnings per share. The companies acquired to date during the year have combined annual sales of approximately SEK 565 million.

Stockholm, 22 October 2007

INDUTRADE AB (publ)

For further information, please contact: Johnny Alvarsson, President and CEO, phone: +46 8 703 03 00 or +46 70 589 17 95.

About Indutrade

Indutrade markets and sells components, systems and services with a high-tech content within selected niches. Indutrade's business is distinguished by

• High-tech products for recurring needs
• Growth through a structured and tried-and tested acquisition strategy
• A decentralised organisation characterised by an entrepreneurial spirit.

The Group is organised into four business areas: Engineering & Equipment, Flow Technology, Industrial Components and Special Products. Indutrade's sales totalled SEK 4,516 million in 2006, generating operating income of SEK 460 million before depreciation of intangible assets. Indutrade is listed on the OMX Nordic Exchange in Stockholm.