Orkla ASA — M&A Activity 2016

Mar 31, 2016

Orkla ASA: Orkla's acquisition of Hamé completed

Orkla ASA: Orkla's acquisition of Hamé completed

Orkla's acquisition of Hamé, a leading branded food company in the Czech

Republic and Slovakia, has now been completed. The acquisition of Hamé doubles

Orkla's turnover in Central Europe.

The agreement for the acquisition of Hamé was signed on 10 December 2015. The

agreement was approved by all relevant competition authorities on 16 March 2016

and the transaction was completed on 31 March 2016.

"We are very pleased that the acquisition of Hamé has now been completed. This

acquisition makes Orkla one of the leading FMCG players in attractive markets in

Central Europe," says President & CEO Peter A. Ruzicka.

Hamé holds strong positions in many categories that are a good fit with Orkla's

current portfolio. In the Czech Republic and Slovakia, Hamé has leading

positions in the categories pâtés, ready meals, ketchup, preserved vegetables,

jams and baby food. The product portfolio includes iconic brands like Hamé,

Májka, Znojmia, Hamánek and Otma. Hamé also has strong positions in pâtés in

Hungary, Romania and Russia.

"With Hamé and Vitana, Orkla will be an attractive supplier to the grocery

sector in the Czech Republic and Slovakia, and the transaction also strengthens

our activities in Romania. A stronger foothold in Central Europe positions Orkla

well for further growth in these markets," says Atle Vidar Nagel-Johansen, Orkla

EVP and CEO of Orkla Foods.

Prior to the transaction, Orkla's presence in Central Europe consisted of the

companies Vitana (Czech Republic and Slovakia), Felix Austria and Orkla Foods

Romania.

"Orkla's acquisition is good news for Hamé and its future. In its further

growth, Hamé can rely on a large and experienced strategic owner that will

support long-term innovation, brand building and the company's overall

development. Hamé's strong position in the region and its potential for further

growth will help Orkla to develop its position in these markets and categories,"

says Hamé CEO Martin Strupl.

Hamé has approximately 2.400 employees and ten factories. The company's

headquarters is located in Kunovice in the south-eastern part of the Czech

Republic.

In 2015, Hamé achieved net sales of CZK 5.3 billion (NOK 1.7 billion) and an

operating profit of CZK 427 million (NOK 140 million) (unaudited figures).

Approximately 70% of Hamé's sales revenues are generated in the Czech Republic

and Slovakia. The seller is Decapterus S.à.r.l., a Luxembourg based private

equity holding company. The parties have agreed on a purchase price of EUR 175

million (on a debt-free basis). Hamé will be consolidated in Orkla's balance

sheet as from 31 March 2016 and in the income statement as from 1 April 2016.

Orkla is a leading supplier of branded consumer goods and concept solutions to

the grocery, out-of-home and bakery markets in the Nordics, Baltics and selected

markets in Central Europe and India. Orkla is listed on the Oslo Stock Exchange

and its head office is in Oslo. In 2015, the Group had a turnover of

approximately NOK 33 billion, and had 14,670 employees at year end.

Orkla ASA

Oslo, 31 March 2016

Ref.:

Group Director Corporate Communications and Corporate Affairs

Håkon Mageli

Tel.: +47 928 45 828

Email: hakon.mageli@orkla.no

SVP Investor Relations

Mattias Orrenius

Tel.: +47 983 66 334

Email: mattias.orrenius@orkla.no

This information is subject to the disclosure requirements pursuant to section

5-12 of the Norwegian Securities Trading Act.

[HUG#1999335]