Kongsberg Automotive

Capital/Financing Update • Jul 12, 2018

Kongsberg Automotive successfully places EUR 275 million senior secured bond

Kongsberg Automotive successfully places EUR 275 million senior secured bond

Press Release, July 12, 2018

NOT FOR DISTRIBUTION OR RELEASE, DIRECTLY OR INDIRECTLY, TO U.S. NEWS WIRE

SERVICES OR FOR DISSEMINATION IN THE UNITED STATES, AUSTRALIA, CANADA OR JAPAN,

OR ANY OTHER JURISDICTION IN WHICH THE DISTRIBUTION OR RELEASE WOULD BE

UNLAWFUL.

Kongsberg, Norway - July 12, 2018 - Kongsberg Actuation Systems B.V., an

indirect wholly owned subsidiary of Kongsberg Automotive ASA, successfully

placed Euro 275 million senior secured notes in the international capital market

today. The notes have a term of seven years (until 2025) and a yield of 5.0%

p.a.

The notes are governed by New York law (144A/Reg S) and are expected to be

listed on The International Stock Exchange in the Channel Islands. The gross

proceeds from the notes will be used for the refinancing of the existing U.S.

dollar 172 million and Euro 182 million revolving credit facilities of Kongsberg

Automotive ASA, for general corporate purposes and to pay fees and expenses in

connection with offering and the entry into a new Euro 50 million revolving credit

facility.

Standard & Poor's and Moody's rate the notes with BB- and Ba3, respectively.

These materials are not an offer for sale of securities.

Copies of this announcement are not being made and may not be distributed or

sent into the United States, Australia, Canada, Japan or any other jurisdiction

in which such distribution would be unlawful or would require registration or

other measures.

The securities to be issued in a debt capital market transaction (the

"Securities") have not been registered under the U.S. Securities Act of 1933, as

amended (the "Securities Act"), and may not be offered or sold in the United

States absent registration or an exemption from the registration requirements of

the Securities Act. The Company does not intend to register any part of the

Securities in the United States or to conduct a public offering of Securities in

the United States.

This communication is only being distributed to and is only directed at (i)

persons who are outside the United Kingdom or (ii) to investment professionals

falling within Article 19(5) of the Financial Services and Markets Act 2000

(Financial Promotion) Order 2005 (the "Order") or (iii) above together being

referred to as "relevant persons"). The securities are only available to, and

any invitation, offer or agreement to subscribe, purchase or otherwise acquire

such securities will be engaged in only with, relevant persons. Any person who

is not a relevant person should not act or rely on this document or any of its

contents.

Forward-looking Statements

This news release may include "forward-looking statements" within the meaning of

the securities laws of certain applicable jurisdictions. These forward-looking

statements include, but are not limited to, all statements other than statements

of historical facts contained in this news release, including, without

limitation, those regarding KA's intentions, beliefs or current expectations

concerning, among other things: KA's future financial conditions and

performance, results of operations and liquidity; KA's strategy, plans,

objectives, prospects, growth, goals and targets; future developments in the

markets in which KA participates or is seeking to participate; and anticipated

regulatory changes in the industry in which KA operates. These forward-looking

statements can be identified by the use of forward-looking terminology,

including the terms "anticipate," "believe," "continue," "ongoing," "estimate,"

"expect," "intend," "may," "plan," "potential," "predict," "project," "target,"

"seek" or, in each case, their negative, or other variations or comparable

terminology. By their nature, forward-looking statements involve known and

unknown risks, uncertainties and other factors because they relate to events and

depend on circumstances that may or may not occur in the future. Readers are

cautioned that forward-looking statements are not guarantees of future

performance and that KA's actual financial condition, results of operations and

cash flows, and the development of the industry in which KA operates, may differ

materially from (and be more negative).

For more information, please contact:

Kongsberg Automotive Corporate Communication:

Marcus von Pock - Communications +41 43 508 94 93

Email: Marcus.vonPock@ka-group.com

Hallstein Kvam Oma - Investor relations +41 43 508 89 63

Email: Hallstein.KvamOma@ka-group.com

This information is subject to the disclosure requirements pursuant to section 5

-12 of the Norwegian Securities Trading Act.