Veidekke — M&A Activity 2017

Jun 16, 2017

Veidekke acquires Båsum Boring AS

Veidekke acquires Båsum Boring AS

Veidekkes subsidiary Kynningsrud Fundamentering has signed a letter

of intent to acquire 73% of the shares of Båsum Boring AS from

Krøderen in Buskerud and Trondheim. "Båsum is Norway's largest

player in well and geothermal drilling, and a very well-run company.

This acquisition will strengthen us in energy and environmental

solutions and supplement us with new services in the construction

market," says Managing Director Dag Andresen with Veidekke

Entreprenør.

Since being established in 1952, Båsum Boring has developed into a

Norwegian leader in drilling services for geothermal/water wells,

laying foundations, tunnelling and unblocking and the rehabilitation

of pipes without digging. The company's annual turnover is around

NOK 150 million and it has 52 employees at Krøderen and 8 in

Trondheim.

"I believe that linking Båsum Boring to Kynningsrud Fundamentering

and Veidekke will be a good thing in order to further develop our

business. Additionally, we will now become a part of a large and

competent contractor and will have the strength to compete for

larger and larger contracts in the Norwegian construction market. I

fully support this," says general manager Trond Båsum with Båsum

Boring AS.

"Båsum Boring will provide us with new business areas and strengthen

our ability to perform and our competitiveness. It is a very healthy

company with a good reputation that we are looking forward to

bringing on board," says general manager Erling Omre of Kynningsrud

Fundamentering AS.

It is expected that the final contract will be signed at the end of

September, subject to approval by the Norwegian Competition

Authority.

For more information, contact:

General manager Trond Båsum of Båsum Boring, tel. +47 913 75 100,

trond@båsum.no

General manager Erling Omre of Kynningsrud Fundamentering, tel. +47

90 54 08 69, erling.omre@kynningsrud.no

Head of department Nils Hæstad with Veidekke Entreprenør, tel. +47

97 68 97 91, nils.hestad@veidekke.no

Communications Manager Helge Dieset of Veidekke Entreprenør, tel.

+47 90 55 33 22, helge.dieset@veidekke.no

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Veidekke is one of Scandinavia's largest construction and property

development companies. The company undertakes all types of building

and construction contracts, maintains roads and produces asphalt and

aggregates. The company's operations are characterised by

involvement and local knowledge. Revenue is NOK 30 billion (2016),

and half of the 7,400 employees own shares in the company. Veidekke

is listed on the Oslo Stock Exchange and has always posted a profit

since it was founded in 1936.